The Purpose of the Equivalent-Unit Computation Is to ________

question 11

Multiple Choice

The purpose of the equivalent-unit computation is to ________.

• A) convert completed units into the amount of partially completed output units that could be made with that quantity of input
• B) assist the business in determining the cost assigned to ending inventory and work-in-process inventory
• C) predict the future production capabilities of the organization
• D) satisfy the GAAP requirements which requires all partially completed goods to be reported as equivalent-units

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Definitions:

Registered Bonds

are bonds whose ownership is recorded by the issuing company, ensuring that only the registered owner receives interest payments and the principal back.

Bearer Bonds

Bonds that are owned by the holder rather than a registered owner, and the physical possession of the bond is the only evidence of ownership.

Convertible Bonds

Bonds that can be converted into a predetermined number of the issuing company's shares, typically at the discretion of the bondholder.

Bond Ratings

A classification system that denotes the credit quality and perceived risk of bonds issued by corporations, municipalities, or sovereign entities.