Richards Corporation Uses the Weighted-Average Method of Process Costing

question 77

Multiple Choice

Richards Corporation uses the weighted-average method of process costing.The following information is available for October in its Fabricating Department: Units:
Beginning Inventory: 80,000 units,60% complete as to materials and 20% complete as to conversion.
Units started and completed: 250,000.
Units completed and transferred out: 330,000.
Ending Inventory: 30,000 units,40% complete as to materials and 10% complete as to conversion.
Costs:
Costs in beginning Work in Process - Direct Materials: $37,200.
Costs in beginning Work in Process - Conversion: $79,700.
Costs incurred in October - Direct Materials: $646,800.
Costs incurred in October - Conversion: $919,300.
-Calculate the cost per equivalent unit of materials.

• A)$2.59
• B)$2.33
• C)$1.89
• D)$2.20
• E)$2.00

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Definitions:

Tibia

The medial bone of the lower leg; commonly called the shin bone.

Synovial Joints

Flexible connections between bones that are lubricated by synovial fluid, allowing for a wide range of movements.

Fibrous Joint Capsule

A component of a joint surrounded by connective tissue that encloses the ends of bones in a joint, providing stability and strength.

Synovial Joints

Joints that are enclosed in a capsule of connective tissue and contain a lubricating synovial fluid, allowing for smooth movement.