Dreamtime Manufacturing Uses the Weighted-Average Method of Computing Equivalent Units

question 7

Multiple Choice

Dreamtime Manufacturing uses the weighted-average method of computing equivalent units of production. For beginning work in process there were 8000 units 20% complete as to materials and conversion costs. For ending work in process there were 10000 units 35% complete as to materials and conversion costs. 14 000 units were completed during the year. Determine the equivalent units of production.

• A) 14 000
• B) 17 500
• C) 20 500
• D) 24 000

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Definitions:

Facility Costs

Expenses associated with operating physical buildings such as warehouses and factories, including rent, utilities, and maintenance.

Inventory Costs

The total expenses associated with holding and managing inventory, including storage, insurance, taxes, and opportunity costs, alongside the cost of goods sold.

Transportation Costs

Expenses incurred in moving goods from one location to another, including freight, shipping, and logistics fees.

Omni-Channel Retail

A retail strategy that provides customers with a seamless shopping experience across various channels and devices.