Use the Information Below to Answer the Following Question(s)

question 114

Multiple Choice

Use the information below to answer the following question(s) .Craft Concept manufactures small tables in its Processing Department.Direct materials are added at the initiation of the production cycle and must be bundled in single kits for each unit.Conversion costs are incurred evenly throughout the production cycle.Before inspection, some units are spoiled due to non-detectable materials defects.Inspection occurs at the end of the process.Spoiled units generally constitute 5 percent of the good units.Data for December are as follows:

-What is the total cost per equivalent unit using the weighted-average method of process costing?

• A)$3.00
• B)$3.60
• C)$4.60
• D)$6.60
• E)$6.90

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Definitions:

Decision Making

is the process of identifying and selecting alternatives based on values, preferences, and beliefs of the decision-maker.

Performance Deficiency

A situation where an individual's work output fails to meet the expected standards or objectives.

Actual Situation

The real or existing state of affairs or circumstances, without any changes or alterations.

Better Than Anticipated

A situation or outcome that exceeds previously set expectations or forecasts.