A Company Uses a Process Cost Accounting System

question 61

Multiple Choice

A company uses a process cost accounting system.Its Sewing Department's beginning inventory consisted of 50,000 units (1/4 complete with respect to direct labor and overhead) .The Sewing Department started and finished 120,000 units this period.Its ending inventory consists of 40,000 units (1/4 complete with respect to direct labor and overhead) .All direct materials are added at the beginning of the process.Under FIFO what are the equivalent units of production for the Sewing Department for direct materials and for direct labor and overhead,respectively?

• A) 210,000;120,000
• B) 210,000; 180,000
• C) 167,500; 167,500
• D) 160,000; 162,500
• E) 160,000; 167,500

Describe the role and influence of trading companies (e.g., Royal African Company) on the Atlantic slave trade.

Identify the economic foundations and trading patterns of New England, including the triangular trade and its components.

Explain the differences in economic and social structures between the northern and southern colonies.

Analyze the effects of mercantilism on the colonial economy and the British-colonial relationship.

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Definitions:

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations by comparing current assets to current liabilities.

Solvency

The ability of an entity to meet its long-term financial obligations and continue its operations in the long term.

Current Ratio

A financial metric that evaluates a firm's capability to settle short-term liabilities using its available assets.

Profitability

Profitability measures a company's ability to generate earnings as compared to its expenses and other costs incurred during a specific period.