The Finishing Department of Garr Company Has the Following Information

question 23

Multiple Choice

The Finishing Department of Garr Company has the following information available for 20xx: $$\begin{array} { l r r } & \text { Units}& \text { complete } \\\text { Beginging work in process inventory } & 5,000 & 40 \text { percent } \\\text { Ending work in process inventory } & 2,500 & \text { 80 percent } \\\text { Units completed during } 20 x x & 32,000 & 100 \text { percent }\end{array}$$
Assuming that Garr Company uses the FIFO process costing method,what are the equivalent units for conversion costs for 20xx?

• A) 31,000
• B) 36,000
• C) 37,000
• D) 32,000

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Definitions:

Resource Prices

The cost or price of raw materials, labor, and other inputs required for the production of goods and services.

Mustangs

Wild horses in the Western United States, descended from horses brought to the Americas by Spanish explorers.

Law of Demand

A fundamental economic principle stating that, all else being equal, as the price of a good increases, consumer demand for the good decreases, and vice versa.

Average Price

The mean price of a good or service, calculated by dividing the total revenue by the quantity sold.