HTC Calculators Uses Process Costing

question 68

Multiple Choice

HTC Calculators uses process costing.At the beginning June, there were 1,100 units in
Process, 70% complete with respect to material and 60% complete with respect to conversion costs.During June, 24,000 units were started and 23,600 units were completed.The units in ending Work in Process inventory were 90% complete with respect to material and 30% complete with respect to conversion costs.How many equivalent units will be used in calculating the cost per unit for materials during June?

• A)24,950 units
• B)24,050 units
• C)25,720 units
• D)22,950 units

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Definitions:

Wage Compression

Occurs when there is a narrowing of the differences in pay between employees regardless of their skill level or experience, often due to internal or external pressure on wage structures.

Rate Ranges

Pay scale brackets defined by an employer that dictate the minimum and maximum salary for a particular position.

Physiological Needs

Basic necessities required for human survival, such as food, water, shelter, and air.

Security Needs

The requirements necessary to protect physical or informational assets from threats.