During the Current Period,Department a Finished and Transferred 50,000 Units

question 120

Multiple Choice

During the current period,Department A finished and transferred 50,000 units to Department B.Of the 50,000 units,20,000 were one-fifth complete at the beginning of the period and 30,000 were started and completed during the period.Also during the period,10,000 units were started but brought only to a stage of being three-fifths completed.If the weighted-average method is used and $14,000 of overhead was charged to Department A during the period,how much overhead should be allocated to the ending goods in process inventory?

• A)$1,615
• B)$3,250
• C)$2,600
• D)$2,500
• E)$1,500

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Definitions:

Comparative Financial Statements

Financial statements that present the financial position, results of operations, and cash flows of an entity for multiple periods side-by-side for comparison.

Financial Statements

Financial statements are comprehensive reports created to provide insights into a company's financial performance, position, cash flows, and changes in equity over a specific period, typically including the balance sheet, income statement, statement of cash flows, and statement of changes in equity.

Vertical Analysis

A financial analysis technique that presents each item in a financial statement as a percentage of a base figure.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenues.