State the option which is equal to equivalent units of production.

Question

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Answer 1

Question

Chapter 20, Problem 1MCQ

To determine

State the option which is equal to equivalent units of production.

Expert Solution & Answer

Answer to Problem 1MCQ

d. The number of units that could have been started and completed given the cost incurred.

Explanation of Solution

Equivalents units of production (EUP): Equivalents units are a measure of the work done during an accounting period. It includes the beginning and closing inventory of work in process and they also provide information relating to work on units that are completely processed during the period. The Equivalents units for production (EUP) under FIFO method is computed as follows:

Equivalent unitsof prodcution} = [(Number of whole units completed and transferred to next department) + (Number of equivalent units in ending work in process inventory)]

The term, equivalent units of production (EUP) is one of a significant idea in the process costing and it refers to the number of units “that could have started and completed given the costs incurred during the period”.
For example, 200,000 tennis balls that are 50% through the production process is equivalent to 100,000 (200,000 (200,000 units ×50%) tennis balls that have completed the production process entirely. This states that cost to put 200,000 units 50% of the way through the production process is equivalent to the cost to put 100,000 units completely through the production process.

Therefore, from the above explanation it is observed, option d. The number of units that could have been started and completed given the cost incurred is the correct answer and the other options of a, b, c and e are incorrect.

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Answer 2

Question

Chapter 20, Problem 1MCQ

To determine

State the option which is equal to equivalent units of production.

Expert Solution & Answer

Answer to Problem 1MCQ

d. The number of units that could have been started and completed given the cost incurred.

Explanation of Solution

Equivalents units of production (EUP): Equivalents units are a measure of the work done during an accounting period. It includes the beginning and closing inventory of work in process and they also provide information relating to work on units that are completely processed during the period. The Equivalents units for production (EUP) under FIFO method is computed as follows:

Equivalent unitsof prodcution} = [(Number of whole units completed and transferred to next department) + (Number of equivalent units in ending work in process inventory)]

The term, equivalent units of production (EUP) is one of a significant idea in the process costing and it refers to the number of units “that could have started and completed given the costs incurred during the period”.
For example, 200,000 tennis balls that are 50% through the production process is equivalent to 100,000 (200,000 (200,000 units ×50%) tennis balls that have completed the production process entirely. This states that cost to put 200,000 units 50% of the way through the production process is equivalent to the cost to put 100,000 units completely through the production process.

Therefore, from the above explanation it is observed, option d. The number of units that could have been started and completed given the cost incurred is the correct answer and the other options of a, b, c and e are incorrect.

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Answer 3

Question

Chapter 20, Problem 1MCQ

To determine

State the option which is equal to equivalent units of production.

Expert Solution & Answer

Answer to Problem 1MCQ

d. The number of units that could have been started and completed given the cost incurred.

Explanation of Solution

Equivalents units of production (EUP): Equivalents units are a measure of the work done during an accounting period. It includes the beginning and closing inventory of work in process and they also provide information relating to work on units that are completely processed during the period. The Equivalents units for production (EUP) under FIFO method is computed as follows:

Equivalent unitsof prodcution} = [(Number of whole units completed and transferred to next department) + (Number of equivalent units in ending work in process inventory)]

The term, equivalent units of production (EUP) is one of a significant idea in the process costing and it refers to the number of units “that could have started and completed given the costs incurred during the period”.
For example, 200,000 tennis balls that are 50% through the production process is equivalent to 100,000 (200,000 (200,000 units ×50%) tennis balls that have completed the production process entirely. This states that cost to put 200,000 units 50% of the way through the production process is equivalent to the cost to put 100,000 units completely through the production process.

Therefore, from the above explanation it is observed, option d. The number of units that could have been started and completed given the cost incurred is the correct answer and the other options of a, b, c and e are incorrect.

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Answer 4

Question

Chapter 20, Problem 1MCQ

To determine

State the option which is equal to equivalent units of production.

Expert Solution & Answer

Answer to Problem 1MCQ

d. The number of units that could have been started and completed given the cost incurred.

Explanation of Solution

Equivalents units of production (EUP): Equivalents units are a measure of the work done during an accounting period. It includes the beginning and closing inventory of work in process and they also provide information relating to work on units that are completely processed during the period. The Equivalents units for production (EUP) under FIFO method is computed as follows:

Equivalent unitsof prodcution} = [(Number of whole units completed and transferred to next department) + (Number of equivalent units in ending work in process inventory)]

The term, equivalent units of production (EUP) is one of a significant idea in the process costing and it refers to the number of units “that could have started and completed given the costs incurred during the period”.
For example, 200,000 tennis balls that are 50% through the production process is equivalent to 100,000 (200,000 (200,000 units ×50%) tennis balls that have completed the production process entirely. This states that cost to put 200,000 units 50% of the way through the production process is equivalent to the cost to put 100,000 units completely through the production process.

Therefore, from the above explanation it is observed, option d. The number of units that could have been started and completed given the cost incurred is the correct answer and the other options of a, b, c and e are incorrect.

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Answer 5

Chapter 20, Problem 1MCQ

To determine

State the option which is equal to equivalent units of production.

Expert Solution & Answer

Answer to Problem 1MCQ

d. The number of units that could have been started and completed given the cost incurred.

Explanation of Solution

Equivalents units of production (EUP): Equivalents units are a measure of the work done during an accounting period. It includes the beginning and closing inventory of work in process and they also provide information relating to work on units that are completely processed during the period. The Equivalents units for production (EUP) under FIFO method is computed as follows:

Equivalent unitsof prodcution} = [(Number of whole units completed and transferred to next department) + (Number of equivalent units in ending work in process inventory)]

The term, equivalent units of production (EUP) is one of a significant idea in the process costing and it refers to the number of units “that could have started and completed given the costs incurred during the period”.
For example, 200,000 tennis balls that are 50% through the production process is equivalent to 100,000 (200,000 (200,000 units ×50%) tennis balls that have completed the production process entirely. This states that cost to put 200,000 units 50% of the way through the production process is equivalent to the cost to put 100,000 units completely through the production process.

Therefore, from the above explanation it is observed, option d. The number of units that could have been started and completed given the cost incurred is the correct answer and the other options of a, b, c and e are incorrect.

Answer 6

Chapter 20, Problem 1MCQ

To determine

State the option which is equal to equivalent units of production.

Expert Solution & Answer

Answer to Problem 1MCQ

d. The number of units that could have been started and completed given the cost incurred.

Explanation of Solution

Equivalents units of production (EUP): Equivalents units are a measure of the work done during an accounting period. It includes the beginning and closing inventory of work in process and they also provide information relating to work on units that are completely processed during the period. The Equivalents units for production (EUP) under FIFO method is computed as follows:

Equivalent unitsof prodcution} = [(Number of whole units completed and transferred to next department) + (Number of equivalent units in ending work in process inventory)]

The term, equivalent units of production (EUP) is one of a significant idea in the process costing and it refers to the number of units “that could have started and completed given the costs incurred during the period”.
For example, 200,000 tennis balls that are 50% through the production process is equivalent to 100,000 (200,000 (200,000 units ×50%) tennis balls that have completed the production process entirely. This states that cost to put 200,000 units 50% of the way through the production process is equivalent to the cost to put 100,000 units completely through the production process.

Therefore, from the above explanation it is observed, option d. The number of units that could have been started and completed given the cost incurred is the correct answer and the other options of a, b, c and e are incorrect.

Answer 7

Chapter 20, Problem 1MCQ

To determine

State the option which is equal to equivalent units of production.

Answer 8

Expert Solution & Answer

Answer to Problem 1MCQ

d. The number of units that could have been started and completed given the cost incurred.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Explanation of Solution

Equivalents units of production (EUP): Equivalents units are a measure of the work done during an accounting period. It includes the beginning and closing inventory of work in process and they also provide information relating to work on units that are completely processed during the period. The Equivalents units for production (EUP) under FIFO method is computed as follows:

Equivalent unitsof prodcution} = [(Number of whole units completed and transferred to next department) + (Number of equivalent units in ending work in process inventory)]

The term, equivalent units of production (EUP) is one of a significant idea in the process costing and it refers to the number of units “that could have started and completed given the costs incurred during the period”.
For example, 200,000 tennis balls that are 50% through the production process is equivalent to 100,000 (200,000 (200,000 units ×50%) tennis balls that have completed the production process entirely. This states that cost to put 200,000 units 50% of the way through the production process is equivalent to the cost to put 100,000 units completely through the production process.

Therefore, from the above explanation it is observed, option d. The number of units that could have been started and completed given the cost incurred is the correct answer and the other options of a, b, c and e are incorrect.