Muzyka Corporation Uses the FIFO Method in Its Process Costing

question 69

Multiple Choice

Muzyka Corporation uses the FIFO method in its process costing system.Data concerning the first processing department for the most recent month are listed below: Note: Your answers may differ from those offered below due to rounding error.In all cases,select the answer that is the closest to the answer you computed. The cost of a completed unit transferred out of the department is closest to:

• A)$69.88
• B)$75.56
• C)$60.71
• D)$65.92

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Definitions:

Negligence

Not acting with the care expected from a reasonably prudent person in identical situations.

Cattle Feed

Food specifically prepared and provided for the nourishment and growth of cattle.

Poisoned Feed

A harmful or toxic compound mixed with livestock feed that can damage or kill animals.

Strict Liability

Legal responsibility for damages or injury, regardless of the presence of fault or negligence.