A Company Uses the FIFO Method for Inventory Costing

question 65

Multiple Choice

A company uses the FIFO method for inventory costing.At the beginning of a period,the production department had 20,000 units in beginning Work in Process inventory which were 40% complete;the department completed and transferred 165,000 units.At the end of the period,22,000 units were in the ending Work in Process inventory and are 75% complete.Compute the number of equivalent units produced by the department.

• A)181,500.
• B)165,000.
• C)173,500.
• D)145,000.
• E)187,000.

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Definitions:

Royal African Company

A trading company chartered by England in the late 17th century, which held a monopoly on English trade with the West African coast, particularly in slaves for the transatlantic slave trade.

Sub-Saharan Africa

The area of the African continent located south of the Sahara Desert, characterized by diverse cultures, languages, and economies.

Slave-Catching Raids

Acts conducted to capture and return enslaved people who had escaped, often involving violence and carried out under laws like the Fugitive Slave Acts in the United States.

New England

A region in the northeastern United States comprising six states (Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, and Vermont), known for its colonial history, distinct seasons, and academic institutions.