Use the Information Below to Answer the Following Questions

question 167

Multiple Choice

Use the information below to answer the following questions:
Hannish Orchards, a juice manufacturer, uses a process that adds flavouring at the beginning of the process and vitamins and minerals 70% of the way through the process. Conversion costs are evenly distributed. Assume there are no beginning inventories. The company started making 10,000 gallons of the drink, and the 2,000 gallons left in ending WIP were 40% of the way through the process.
Costs incurred during the period were:

-The equivalent units for flavouring at Hannish Orchards is

• A) 12,000.
• B) 10,000.
• C) 8,800.
• D) 2,000.

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Definitions:

Pollution Abatement

Measures taken to reduce, control, or eliminate pollution from various sources to improve environmental health.

Diminishing Returns

Diminishing returns is an economic principle stating that as one factor of production increases while others are held constant, the additional output (returns) from the increased factor will eventually decrease.

Free Ride

Benefiting from a service or good without having to bear the cost or effort of obtaining it, usually in the context of public goods.

Illegal File Sharing

The unauthorized distribution of digital content, such as music, movies, or software, over the internet.