Exhibit 4-1 Silva Coporation Uses the Weighted Average Process Costing Method.The Mixing

question 33

Multiple Choice

Exhibit 4-1
Silva Coporation uses the weighted average process costing method.The Mixing Department at Silva had 17,000 units in beginning inventory.These units contained $70,000 in direct materials,$80,000 in direct labor,and $60,000 in overhead.During the period,the department incurred costs of $320,000 in direct materials,$400,000 in direct labor and $200,000 in overhead and started 80,000 units.Ending inventory consisted of 6,000 units which were 100% complete with respect to direct materials and 50% complete with respect to direct labor and overhead.
-Refer to Exhibit 4-1.What is the cost per equivalent unit for overhead (rounded to the nearest cent) ?

• A)$2.77
• B)$0.64
• C)$2.52
• D)$2.68
• E)None of the answer choices is correct.

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Definitions:

Reinforcement

An event that an individual experiences as pleasurable or rewarding, which increases the frequency of a behavior that occurred immediately before the pleasurable event.

Rewarded

Being given something, typically a token of appreciation or payment, in response or recognition for one's action or service.

Exosystem

In Bronfenbrenner’s bioecological model, the level of the environment that children may not directly interact with but that influences them nonetheless.

Bronfenbrenner's Model

A theoretical model outlining the social and environmental layers that influence an individual's development, such as family, school, and society.