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

question 48

Multiple Choice

Ire Corporation uses the weighted-average 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 materials for the month in the first processing department is closest to:

• A)$10.50
• B)$9.95
• C)$10.89
• D)$10.32

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Definitions:

Tech Support Department

A division within a company that provides technical assistance and support to customers or internal users of technology products or services.

Capacity Analysis

An assessment process to determine the maximum level of output or production a company can sustain with its current resources.

Time-Driven Activity-Based Costing

A method of costing that assigns costs to products or services based on the time-consuming activities they require, incorporating both variable and fixed costs.

Order Fulfillment Department

The division within a company responsible for processing orders and ensuring products are delivered to customers efficiently.