Flying High Manufacturing Produces Frisbees Using a Three-Step Process That

question 176

Multiple Choice

Flying High Manufacturing produces frisbees using a three-step process that includes molding, coloring and finishing. Which account is credited when the frisbees are totally completed?

• A)WIP Inventory-Finishing
• B)Finished Goods Inventory
• C)Manufacturing Overhead
• D)WIP Inventory-Coloring

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Definitions:

Compounded Semi-annually

Interest on an investment or loan is calculated and added to the principal twice a year.

Amortization Schedule

A table detailing each periodic payment on an amortizing loan, showing amounts toward principal and interest and the remaining balance after each payment.

Compounded Semi-annually

An interest calculation method in which interest is added to the principal balance twice a year, leading to exponential growth.

Monthly Payments

Regular payments made once a month, often used in the context of loans or leases.