The Finishing Department Had 5,000 Incomplete Units in Its Beginning

question 6

Multiple Choice

The Finishing Department had 5,000 incomplete units in its beginning Work-in-Process Inventory which were 100% complete as to materials and 30% complete as to conversion costs. 15,000 units were received from the previous department. The ending Work-in-Process Inventory consisted of 2,000 units which were 50% complete as to materials and 30% complete as to conversion costs. The Finishing Department uses first-in, first-out (FIFO) process costing.
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How many units were started and completed during the period?

• A) 12,000.
• B) 13,000.
• C) 18,000.
• D) 20,000.

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Definitions:

Deseasonalized

Deseasonalized data refers to the removal of seasonal effects from a time series to better identify trends and other underlying patterns.

Seasonal Index

A coefficient that modifies data to account for seasonal effects, facilitating more accurate trend analysis over time.

Forecasted Sales

Predicted revenues that a company expects to earn in a future period based on historical data, market trends, and analysis.

Trend Equation

A mathematical formula that describes the trend in a set of data, often used in time series analysis to forecast future values.