Answer the Following Question(s)using the Information Below

question 23

Multiple Choice

Answer the following question(s) using the information below.Samantha's Office Supplies manufactures desk organizers in its Processing Department.Direct materials are added at the beginning of the process and conversion costs are incurred evenly throughout the production cycle.Inspection takes place at the end of the process and spoiled units generally constitute 4% of the good units.Data provided for February are as follows:

-What costs are allocated to the ending work-in-process inventory for direct materials and conversion costs, respectively, using the FIFO method of process costing?

• A)$38,250; $4,850
• B)$40,000; $23,100
• C)$38,400; $4,950
• D)$49,500; $38,400
• E)$38,400; $19,800

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Definitions:

Scheduled Payments

Regularly planned payments, often made on a monthly or annual basis, towards settling a debt or obligation.

Equivalent Payments

Payments of equal value adjusted for timing or conditions to make them comparable.

Equal Payments

Regular payments of the same amount, often used in the context of loans or mortgages.

Interest Rate

The ratio of a loan that accumulates interest charges for the borrower, customarily articulated as an annual percentage of the loan outstanding.