The Following Production Data Were Taken from the Records of the Finishing

question 100

Multiple Choice

The following production data were taken from the records of the Finishing Department for June: Determine the number of material equivalent units of production in the June 30 Finishing Department inventory, assuming that the first-in, first-out method is used to cost inventories and materials were added at the beginning of the process.

• A) 7,000 units
• B) 68,000 units
• C) 72,000 units
• D) 76,000 units

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Definitions:

Dividend Income

Income received from owning shares of a company, distributed out of the company's profits.

Capital Gain

The profit that results from a disposition of a capital asset, such as stock, bond, or real estate, where the sale price exceeds the purchase price.

Arithmetic Average Return

The simple mean of a series of returns over a period of time, calculated by summing the returns and dividing by the number of periods.

Multiyear Period

A span of time that covers more than one year, often used in planning, budgeting, or assessing performance over the long term.