Kets Corporation Uses the FIFO Method in Its Process Costing

question 71

Multiple Choice

Kets Corporation uses the FIFO method in its process costing system. Operating data for the Enameling Department for the month of May appear below:
What were the equivalent units for conversion costs in the Enameling Department for May?

• A) 83,190
• B) 80,600
• C) 83,800
• D) 84,400

---

Definitions:

Operating Cycle

The period of time it takes for a company to purchase inventory, sell products, and collect cash from customers.

Business Decision

A choice made by a business in pursuit of its objectives, often involving resource allocation.

Material

The raw inputs or supplies used in the manufacturing of goods or products.

Investor

An individual or entity that allocates capital with the expectation of receiving financial returns.