Higgins Labs Inc

question 81

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 FIFO method is used,the equivalent units for material for October would be:

• A)55,000 units
• B)46,500 units
• C)44,500 units
• D)48,000 units

Understand the structure and function of ribosomes.

Comprehend the role of mitochondria in cellular metabolism and energy production.

Recognize the significance of Golgi bodies in the modification and sorting of proteins and lipids.

Identify the organelles involved in sugar metabolism.

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Definitions:

Variable Costing

An accounting method that only considers variable costs (costs that change with production levels) in determining product cost, excluding fixed costs.

Gross Margin

A company's total sales revenue minus its cost of goods sold, divided by the total sales revenue, expressed as a percentage. It indicates the efficiency with which a company uses its materials and labor to produce and sell products profitably.

Absorption Costing

A costing method that includes all manufacturing costs - direct materials, direct labor, and both variable and fixed overhead - in the cost of a product.

Manufacturing Margin

The difference between the sales revenue generated from manufactured goods and the cost of goods sold (COGS) associated with producing those goods.