Question
Asked Dec 21, 2019
15 views

Assuming beginning work in process is zero, the equivalent units of production computed using FIFO versus weighted average will have the following relationship:

  1. FIFO equivalent units will be greater than weighted-average equivalent units.
  2. FIFO equivalent units will be less than weighted-average equivalent units.
  3. Weighted-average equivalent units are always greater than FIFO equivalent units.
  4. Weighted-average equivalent units will be equal to FIFO equivalent units.
check_circle

Expert Answer

Step 1

Weighted Average Method:

Weighted average method is the method in which per unit cost is calculated by dividing the total cost by number of units produced. It is associated with process costing.

First-In First-Out ...

Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Business

Accounting

Cost Management

Related Accounting Q&A

Find answers to questions asked by student like you
question_answer

Q: What are the benefits of Kaizen budgeting?

A: Click to see the answer

question_answer

Q: The comparative balance sheet of Merrick Equipment Co. for Dec. 31, 20Y9 and 20Y8, is as follows: De...

A: Calculations for cash payments.

question_answer

Q: Which of the following is a TRUE statement regarding the treatment of scrap by a  firm?a. Scrap is a...

A: Click to see the answer

question_answer

Q: On January 4, Year 1, Ferguson Company purchased 480,000 shares of Silva Company directly from one o...

A: a.Prepare journal entry for the purchase of 480,000 shares of Company Silva at $30 per share.

question_answer

Q: McMahon Inc. reported the following on the company’s statement of cash flows in Year 2 and Year 1:  ...

A: Click to see the answer

question_answer

Q: If an investor owns more than 50% of an investee, how is the investment treated on the investor’s fi...

A:  

question_answer

Q: Multiproduct CVP and decision making. Crystal Clear Products produces two types of water filters. On...

A: Breakeven point is the point at which the total contribution is just equal to the fixed cost. The br...

question_answer

Q: On December 31, Year 1, Valur Co. had the following available-for-sale investment disclosure within ...

A: Comprehensive income: The financial items which result in changes in the stockholders’ equity, other...

question_answer

Q: On the first day of the fiscal year, Lisbon Co. issued $1,000,000 of 10-year, 7% bonds for $1,050,00...

A: Bonds: Bonds are long-term promissory notes that are issued by a company while borrowing money from ...

question_answer

Q: Define current operation income?

A: Current operation income otherwise called as operating income.Operating Income: Operating income is ...

question_answer

Q: Soto Industries Inc. is an athletic footware company that began operations on January 1, Year 1. The...

A: Bond investment: Bond investments are debt securities which pay a fixed interest revenue to the inve...

question_answer

Q: Quality improvement, relevant costs, and relevant revenues. The Tristan Corporation sells 250,000 V2...

A: 1. when Tristan's designers implement the new design, the design cost becomes irrelvant from the dec...

question_answer

Q: What is an invoice?

A: Click to see the answer

question_answer

Q: DCF, accrual accounting rate of return, working capital, evaluation of performance, no income taxes....

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for you...

question_answer

Q: Define cost object and give three examples.

A: Cost accounting systems:It is a system which measures, record and report the product costs. In decis...

question_answer

Q: Multiproduct CVP and decision making. Crystal Clear Products produces two types of water filters. On...

A: 1.Compute Break-even units and break-even revenue for faucet model and pitcher model.

question_answer

Q: The net income reported on the income statement for the current year was $185,000. Depreciation reco...

A: a. Prepare a statement of cash flows for cash flows from operating activities using indirect method ...

question_answer

Q: How is inventory turnover calculated, and what does it measure?

A: Inventory turnover ratio: This is a financial measure that is used to evaluate as to how many times ...

question_answer

Q: During Year 2, Copernicus Corporation held a portfolio of available-for-sale securities having a cos...

A: Click to see the answer

question_answer

Q: Rios Financial Co. is a regional insurance company that began operations on January 1, Year 1. The f...

A: Click to see the answer

question_answer

Q: Journalize the entries to record the following selected bond investment transactions for Starks Prod...

A: a.

question_answer

Q: Give two reasons why the dual-pricing system of transfer pricing is not widely used.

A: Click to see the answer

question_answer

Q: Zeus Investments Inc. is a regional investment company that began operations on January 1, Year 1. T...

A: a. Prepare the journal entry for Year 1

question_answer

Q: What is overcosting? Explain? Give three examples?

A: Over Costing: Over costing is a state in which the estimated or reported cost of a product is more t...

question_answer

Q: Why might a business invest cash in temporary investments?

A:  

question_answer

Q: Define Kaizen budgeting.

A:  

question_answer

Q: Describe four decisions for which ABC information is useful.

A: Click to see the answer

question_answer

Q: What properties should transfer-pricing systems have?

A: Click to see the answer

question_answer

Q: Imagine that you are the new department manager of a corporation within your chosen field: you disco...

A: Audit: Auditing is the systematic verification of the books of accounts and the voucher documents to...

question_answer

Q: Describe how non output-based cost drivers can be incorporated into budgeting.

A: Budgeting: The budgeting is a process of preparing budgets and the evaluation of it to see whether t...

question_answer

Q: What does the disclosure principle require?

A:  

question_answer

Q: How can capital budgeting tools assist in evaluating a manager who is responsible for retaining cust...

A: Capital budgeting:

question_answer

Q: Cost centers, profit centers, decentralization, transfer prices. Fenster Corporation manufactures wi...

A: Click to see the answer

question_answer

Q: CVP analysis, margin of safety. Marketing Docs prepares marketing plans for growing businesses. For ...

A: 1. 

question_answer

Q: On the first day of its fiscal year, Ebert Company issued $50,000,000 of 10-year, 7% bonds to financ...

A: a. 

question_answer

Q: The following transactions were completed by Montague Inc., whose fiscal year is the calendar year:Y...

A: 1.Journalize the entries to record the transactions. 

question_answer

Q: If you were given complete authority in the matter, how would you propose that GAAP should be develo...

A: Generally Accepted Accounting Principles (GAAP): A set of accounting principles, practices and regul...

question_answer

Q: Describe the multi-step income statement.

A: Click to see the answer

question_answer

Q: The order size associated with the economic-order-quantity (EOQ) model will necessarily decline if:a...

A: Click to see the answer

question_answer

Q: If you had to explain or define “generally accepted accounting principles or standards,” what essent...

A: GAAP: Generally accepted accounting principles (GAAP). It refers to accounting principles, standards...

question_answer

Q: eBay Inc. developed a web-based marketplace at www.ebay.com, in which individuals can buy and sell a...

A: Dividend yield: This is the ratio which measures the amount of dividends paid relative to the market...

question_answer

Q: How are FASB preliminary views and FASB exposure drafts related to FASB “statements”?

A: Financial Accounting Standard Boards (FASB): The FASB is an independent, designated and non-profit o...

question_answer

Q: Jack’s Tracks sells 24,000 custom-designed GoKarts per year. These GoKarts are sold evenly throughou...

A: Option a is the correct answer.

question_answer

Q: Define master budget.

A: Click to see the answer

question_answer

Q: E Calculator The entry to record the amortization of a premium on bonds payable on an interest payme...

A: Bonds: Bonds are long-term promissory notes that are issued by a company while borrowing money from ...

question_answer

Q: Methods of joint-cost allocation, comprehensive. Kardash Cosmetics purchases flowers in bulk and pro...

A: Hey, since there are many sub-parts are posted, we will answer first four sub-parts. If you want any...

question_answer

Q: Define direct costs and indirect costs.

A: Direct costs are variable costs which changes according to volume of production. Indirect costs are ...

question_answer

Q: Robin had the following capital transactions in 2018: LTCG $10,000 LTCL 8,000 STCG 2,000 STCL - 0 - ...

A: a.The capital loss of 2017 is carry forwarded to 2018 as a long-term capital loss. Therefore, Person...

question_answer

Q: How can sensitivity analysis be used to increase the benefits of budgeting?

A: Click to see the answer

question_answer

Q: Why is it important to distinguish between the performance of a manager and the performance of the o...

A: Click to see the answer