The Final Step in Recognizing the Completion of Production Requires

question 52

Multiple Choice

The final step in recognizing the completion of production requires a company to:

• A)debit Finished-Goods Inventory and credit Work-in-Process Inventory.
• B)debit Work-in-Process Inventory and credit Finished-Goods Inventory.
• C)add direct labour to Work-in-Process Inventory.
• D)add direct materials, direct labour, and manufacturing overhead to Work-in-Process Inventory.
• E)add direct materials to Finished-Goods Inventory.

---

Definitions:

Adjusted Gross Income

The measure of one's taxable income, calculated as gross income minus allowable adjustments.

Deductible Contribution

A contribution to a qualified plan or account that is eligible to be deducted from the contributor's gross income for tax purposes.

Nonprofit Cemetery

A burial ground operated by an organization that does not seek to make a profit, often eligible for certain tax exemptions.

Schedule A

The section of the tax form 1040 used by taxpayers to itemize deductions.