A Department Adds Raw Materials to a Process at the Beginning

question 131

Multiple Choice

A department adds raw materials to a process at the beginning of the process and incurs conversion costs uniformly throughout the process. For the month of January there were no units in the beginning work in process inventory; 90000 units were started into production in January; and there were 20000 units that were 40% complete in the ending work in process inventory at the end of January. What were the equivalent units of production for materials for the month of January?

• A) 98000 equivalent units.
• B) 82000 equivalent units.
• C) 70000 equivalent units.
• D) 90000 equivalent units.

Understand the promotional strategies suitable for different types of products.

Recognize the characteristics and marketing considerations of durable and nondurable goods.

Comprehend the concepts of idea generation in marketing.

Grasp the concept of brand loyalty and how it varies across product types.

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Definitions:

Profit-Maximizing

A strategy adopted by businesses aiming to achieve the highest possible profit given the constraints they face.

Quantities

Numerical amounts or counts of items, goods, or materials.

Third-Degree Price Discrimination

A pricing strategy where different prices are charged to different customer groups based on their elasticity of demand.

First-Degree Price Discrimination

A pricing strategy where a seller charges the maximum price that each consumer is willing to pay, capturing the entire consumer surplus.