6. (TCO 3) In the assembly department, all the direct materials are added at the

Question

6. (TCO 3) In the assembly department, all the direct materials are added at the beginning of the processing. Beginning Work in Process inventory consists of 2,000 units with a direct materials cost of $31,860. During the period, 15,000 units are started and direct materials costing $250,000 are charged to the department. If there are 1,000 units in ending inventory, what is the cost per equivalent unit? A- $15.93 B- $15.63 C- $14.83 D- $16.58 7. (TCO 4) Which of the following is not an assumption of C-V-P analysis? A- Costs can be accurately separated into fixed and variable components. B- Fixed costs remain constant within the relevant range. C- Total variable costs are proportioned to the level of activity. D- Selling price per unit declines after the break-even point is reached. 8. (TCO 4) Beaudreaux Motors is operating at its break-even point of 16,000 units. Which of the following statements is not true? A- The amount of the company

Explanation / Answer

6 d A B A C D D

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