Marlow Corporation Uses the First-In, First-Out Method in Its Process

question 324

Multiple Choice

Marlow Corporation uses the first-in, first-out method in its process costing system. Department A's beginning work in process inventory consisted of 12,000 units, 100% complete with respect to materials and 60% complete with respect to conversion costs. The total cost of this inventory was $76,400. A total of 25,000 units were transferred out during the month. The costs per equivalent unit were computed to be $3.40 for materials and $4.70 for conversion costs. The cost of the units completed and transferred out was closest to:

• A) $195,540
• B) $146,100
• C) $202,500
• D) $204,260

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Definitions:

Labour Relations Boards

Regulatory boards or agencies designated to adjudicate disputes between employers and employees or unions, often overseeing collective bargaining processes.

Bargaining Agent

An entity, often a union, authorized to negotiate employment terms on behalf of a group of employees.

Conciliation

Use of a government-appointed third party to explore solutions to a labour—management dispute.

Disciplinary Procedures

Formal processes followed by organizations to address employee behaviors that violate policies or standards, aiming at fairness and consistency.