Barker Corporation Uses the Weighted-Average Method in Its Process Costing

question 113

Multiple Choice

Barker Corporation uses the weighted-average method in its process costing system.This month,the beginning inventory in the first processing department consisted of 300 units.The costs and percentage completion of these units in beginning inventory were: A total of 9,100 units were started and 8,700 units were transferred to the second processing department during the month.The following costs were incurred in the first processing department during the month: The ending inventory was 85% complete with respect to materials and 20% complete with respect to conversion costs. 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.To reduce rounding error,carry out all computations to at least three decimal places.
The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to:

• A)$32,501
• B)$7,647
• C)$38,237
• D)$19,773

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Definitions:

Standard Deviations

A measure of the amount of variation or dispersion of a set of values.

Groups

Groups refer to sets of subjects or items that are categorized together based on specific characteristics or treatments in an experiment or study.

Statistical Analysis

The process of collecting, reviewing, interpreting, and presenting data to discover underlying patterns and trends.

P < .01

Indicates that the probability of the observed data (or more extreme) given that the null hypothesis is true is less than 1%, suggesting strong evidence against the null hypothesis.