The Beginning Work in Process Inventory Is 60 Percent Complete

question 43

Multiple Choice

The beginning work in process inventory is 60 percent complete, and the ending work in process inventory is 45 percent complete. The dollar amount of the production cost included in the ending work in process inventory (using the average cost method) is determined by multiplying the average unit costs by what percentage of the total units in the ending work in process inventory?

• A)100 percent
• B)60 percent
• C)55 percent
• D)45 percent

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Definitions:

Guarantee

A formal promise or assurance, typically in writing, that certain conditions will be fulfilled or a product will meet a specified standard of quality.

Indemnity

A legal agreement to compensate for any losses or damages incurred by another party.

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A legal principle that certain types of contracts must be in writing and signed by the party to be charged, in order to be enforceable.

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An entity, such as a corporation, recognized by law as having rights and obligations.