A Company Uses the Weighted Average Method for Inventory Costing

question 227

Multiple Choice

A company uses the weighted average 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) 165,000.
• B) 181,500.
• C) 187,000.
• D) 145,000.
• E) 173,500.

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Definitions:

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Capable of being implemented or compelled to act in accordance with laws, rules, or agreements.

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A contractual agreement by which one party conveys property, services, or land to another for a specified time, usually in return for a periodic payment.

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Interpersonal relationships that are characterized by a significant degree of personal intimacy or commitment, including family relationships and cohabitation.

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The quality of being legally enforceable or imposing duties on the parties involved.