Answer the Following Question(s)using the Information Below

question 49

Multiple Choice

Answer the following question(s) using the information below:
Hawk Ltd.uses process costing in its Fabricating Department.At the beginning of October, it had 12,000 units in beginning work-in-process that were 40% complete with respect to conversion.During October it put 87,000 units into production and completed 89,000 good units.At October 31, there were 3,000 units in ending work-in-process that were 70% complete with respect to conversion.Direct materials are added at the beginning of the process.Inspection occurs at the end of the process and normal spoilage is 6% of good output.Costs related to the beginning inventory were $36,800 for direct materials and $28,600 for conversion costs.During the month, the company issued $280,000 of direct materials and incurred $599,400 of conversion costs.
-Assuming Hawk uses the FIFO method of process costing, the equivalent units for direct materials and conversion costs respectively for October are

• A)87,000 units; 93,300 units.
• B)87,000 units; 94,200 units.
• C)80,000 units; 86,300 units.
• D)87,000 units; 90,900 units.
• E)99,000 units; 94,200 units.

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Definitions:

Continental Crust

The type of Earth’s crust that underlies the continents and the continental shelves; average granitic composition, but includes diverse types of material.

Oceanic Crust

the part of the Earth's crust that underlies the oceans, thinner and denser than continental crust.

Upper Mantle

The upper mantle refers to the portion of the Earth's mantle that lies just beneath the crust, extending down to a depth of about 660 kilometers, involved in tectonic movements and convection currents.

Lower Mantle

The deeper section of the Earth’s mantle extending from 670 kilometers below the surface to the outer core, characterized by high pressure and temperature.