Krumbly Corporation Uses the FIFO Method in Its Process Costing

question 68

Multiple Choice

Krumbly Corporation uses the FIFO method in its process costing system.At the beginning of the month,Department D's work in process inventory contained 2,000 units.These units were 100% complete with respect to materials and 40% complete with respect to conversion costs,with a total cost at that point of $13,600.During the month,conversion costs amounted to $8 per equivalent unit.If all 2,000 units are fully complete by the end of the month and transferred out of the department,the total cost of the 2,000 units transferred out will be closest to:

• A) $9,600
• B) $19,600
• C) $23,200
• D) $16,000

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Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.