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

question 19

Multiple Choice

Use the information below to answer the following question(s) .Cartwright Custom Carpentry manufactures chairs in its Processing Department, and uses the FIFO cost flow assumption.Direct Materials are included at the inception of the production cycle and must be bundled in single kits for each unit.Conversion costs are incurred evenly throughout the production cycle.Inspection takes place at the end of the process, and spoiled units generally constitute 3 percent of the good output.Information provided for March is as follows:

-What costs would be associated with normal and abnormal spoilage, respectively, using the FIFO method of process costing?

• A)$5,890.64; $9,133.20
• B)$5,890.64; $5,826.00
• C)$6,469.64; $7,690.36
• D)$7,690.36; $5,026.80
• E)$9,133.20; $5,026.80

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Definitions:

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The process of making something clearer or easier to understand by explaining or giving more details.

Single Solution

A singular approach or answer to solve a problem or address a challenge, often implying a lack of alternative options.

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A systematic decision-making technique that evaluates and compares alternatives based on multiple attributes or criteria.

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The cognitive process of choosing from alternatives to arrive at a conclusion or strategy.