Annenbaum Corporation Uses the Weighted-Average Method in Its Process Costing

question 168

Multiple Choice

Annenbaum Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 400 units. The costs and percentage completion of these units in beginning inventory were: A total of 6,500 units were started and 5,900 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month:
The ending inventory was 50% complete with respect to materials and 35% complete with respect to conversion costs.The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to: (Round "Cost per equivalent unit" to 3 decimal places.)

• A) $19,148
• B) $22,223
• C) $54,708
• D) $27,354

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Definitions:

Interest Rates

The amount charged by a lender to a borrower for the use of assets, usually expressed as a percentage of the principal.

Investment Expenditures

The outlays made by firms, government, or individuals to purchase goods and services that can create future benefits.

Durable Expenditures

Expenses on goods that have a useful life of more than three years, such as appliances, machinery, and equipment.

Money Supply

The total amount of monetary assets available in an economy at a specific time.