Figure 6-15 The Davidson Company Uses a Weighted Average Process Costing System

question 14

Multiple Choice

Figure 6-15
The Davidson Company uses a weighted average process costing system. The following information was reported for the Assembly Process for January. Materials are added at the beginning of the process and are 100%.

-Refer to Figure 6-15. What is the cost assigned to the units completed and transferred to finishing?

• A) $843,750
• B) $708,750
• C) $777,500
• D) $976,000
• E) none of the above

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Definitions:

Stop-payment Order

An instruction given to a bank to stop a check or payment that hasn't been completed.

Writing

The act or process of producing and recording words in a form that can be read, understood, and preserved, often used legally to refer to the embodiment of agreements or contracts on a tangible medium.

Computers

Electronic devices that execute commands from software to perform a wide range of functions, from basic calculations to complex data processing.

Ordinary Care

The level of care that a reasonably prudent person would exercise in similar circumstances; a standard for negligence determination.