Nilgiri Corporation Uses the FIFO Method in Its Process Costing

question 20

Multiple Choice

Nilgiri 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. To reduce rounding error, carry out all computations to at least three decimal places.
-The cost per equivalent unit for conversion costs for the first department for the month is closest to:

• A)$40.57
• B)$45.33
• C)$39.31
• D)$37.44

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Definitions:

Interaction

In statistics, the way in which two or more variables are related to each other and the effect they have on the outcome of interest.

Simple ANOVA

A statistical method used to compare the means of three or more samples to determine if they come from the same population.

Factorial ANOVA

A statistical test used to evaluate whether there are any significant differences between the means of three or more groups for two or more factors simultaneously.

Main Effects

The immediate effect that an independent variable has on a dependent variable within an experimental setup.