If the Amount of "Cost of Goods Manufactured" During a Period

question 176

Multiple Choice

If the amount of "Cost of goods manufactured" during a period exceeds the amount of "Total manufacturing costs" for the period then

• A) ending work in process inventory is greater than or equal to the amount of the beginning work in process inventory.
• B) ending work in process is greater than the amount of the beginning work in process inventory.
• C) ending work in process is equal to the cost of goods manufactured.
• D) ending work in process is less than the amount of the beginning work in process inventory.

---

Definitions:

Norwalk Agreement

An agreement between the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) to make their existing financial reporting standards fully compatible as soon as practicable and to coordinate their future work programs to ensure compatibility.

SEC

The Securities and Exchange Commission (SEC) is a U.S. government agency responsible for regulating the securities markets and protecting investors by ensuring transparency, fair dealing, and enforcement of securities laws.

IFRS Usage

The adoption and application of the International Financial Reporting Standards, a set of accounting principles for preparing financial statements globally.