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

question 8

Multiple Choice

Bosril Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 400 units. The costs and percentage completion of these units in beginning inventory were: A total of 5,600 units were started and 4,900 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 45% 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 total cost transferred from the first processing department to the next processing department during the month is closest to:

• A) $209,622
• B) $171,191
• C) $196,000
• D) $189,800

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Definitions:

Coercive Power

a form of power that is based on the ability to deliver punishments or impose penalties for noncompliance with expectations or directives.

Reward Power

The capability of an individual to offer positive incentives, such as promotions or bonuses, to influence others’ behaviors or attitudes.

Expert Power

The influence and authority someone has due to their specialized knowledge or expertise.

Coercive Power

A form of power that is based on the ability to deliver punishments or impose sanctions on others.