The Activity in Nolan Company's Blending Department for the Month

question 102

Multiple Choice

The activity in Nolan Company's Blending Department for the month of April is given below:
$\begin{array} {| l | r | r | } \hline & \text { Number of Units } & \begin{array} { r } \text { Labour and overhead } \\\text { percentage complete }\end{array} \\\hline \begin{array} { l r } \text { Work in process inventory, } \\\text { April 1 }\end{array} & 8,000 & 50 \% \\\hline \begin{array} { l } \text { Transferred in the during } \\\text { the month }\end{array} & 50,000 & \\\hline \begin{array} { l } \text { Work in process inventory, } \\\text { April 30 }\end{array} & 10,000 & 70 \% \\\hline\end{array}$
All materials are added at the beginning of processing in the Blending Department.


- Using the FIFO method,what are the equivalent units of production for labour and overhead for the month?

• A) 47,000 units.
• B) 51,000 units.
• C) 5,000 units.
• D) 54,000 units.

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Definitions:

Negotiation Process

The series of actions or steps taken by parties to communicate and come to an agreement or resolve disputes.

Authority

The right or power assigned to an individual or organization to make decisions, give orders, and enforce obedience.

Right to Intervene

The right to intervene refers to the authority or permission for an external party to become involved in a situation or dispute, usually to provide assistance or enforce rules.

Arbitration

A dispute resolution technique involving a neutral third party who decides on the outcome, often legally binding.