Under the Weighted-Average Method, How Would You Calculate the Cost

question 17

Multiple Choice

Under the weighted-average method, how would you calculate the cost per equivalent units with regards to conversion costs?

• A) conversion costs for work done in the current period/units completed and transferred out in the current period
• B) (total conversion costs in beginning work in process)/(units completed and transferred out during the period + equivalent units in ending inventory)
• C) (total conversion costs in beginning work in process + conversion cost for work done in the current period)/(units completed and transferred out during the period + equivalent units in ending inventory)
• D) (total direct labor costs in beginning work in process + conversion cost for work done in the current period)/(units completed and transferred out during the period + equivalent units in ending inventory)

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Definitions:

Legal

Pertaining to laws or the practice of law; concerned with the system of rules that a particular country or community recognizes.

Fax Machines

Communication devices that transmit scanned printed material (both text and images) from one location to another over the telephone network.

Telephone Lines

Physical cables or circuits that transmit voice or data communications between different locations.

Transmission Rates

The speed at which data is transferred from one device or system to another.