Which of the Following Is a True Statement About a Government

question 24

Multiple Choice

Which of the following is a true statement about a government financial reporting entity?

• A)if it includes discrete component unit(s)it cannot also include blended component unit(s)
• B)if it includes blended component unit(s)it cannot also include discrete component unit(s)
• C)it cannot include more discrete component units than blended component units
• D)it can include both blended and discrete component units

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Definitions:

Job-Order Costing System

An accounting method that accumulates costs based on individual jobs or orders, suitable for companies producing unique or custom products.

Homogeneous Product

A product that is uniform in quality and specifications among units produced, making it indistinguishable from products of the same type.

Weighted-Average Method

An inventory costing method that assigns a cost to inventory on the basis of the weighted average cost of all similar goods available during the period.

Cost of Ending Work in Process Inventory

This refers to the total cost of materials, labor, and overhead that remains in production at the end of an accounting period, still not fully completed.