Higgins Labs Inc

question 30

Multiple Choice

Higgins Labs Inc. ,uses a process costing system.The following data are available for one department for October: The department started 45,000 units into production during the month and completed and transferred 50,000 units to the next department. Assuming the weighted-average method is used,the equivalent units for conversion for October would be:

• A)55,000 units
• B)50,000 units
• C)53,500 units
• D)56,500 units

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Definitions:

Specialization And Trade

An economic concept where individuals or entities focus on producing a limited scope of goods or services to trade for other goods or services rather than trying to produce everything themselves.

Law Of Increasing Opportunity

The principle that the opportunity cost of producing a good increases as more of that good is produced, reflecting trade-offs in resource allocation.

Production Possibilities Curves

A graphical representation that shows the maximum combination of goods and services that can be produced by an economy with given resources and technology.

Trading Possibilities Curves

Graphical representations showing the different combinations of goods that two countries can trade, given their resources and technology.