Question

The four steps necessary to complete a cost of production report in a process cost system are: 1. Allocate costs to transferred and partially completed units. 2. Determine the units to be assigned costs. 3. Determine the cost per equivalent unit. 4. Calculate equivalent units of production. The correct ordering of the steps is a.2, 4, 3, 1 b.2, 3, 4, 1 c.4, 2, 3, 1 d.2, 3, 1, 4

Answer 1

a.2, 4, 3, 1

Step-by-step explanation:

Based on the information given The CORRECT ORDERING of the steps is:

Step 1 is to DETERMINE THE UNITS TO BE ASSIGNED COSTS (2)

Step 2 is to CALCULATE EQUIVALENT UNITS OF PRODUCTION (4)

Step 3 is to DETERMINE THE COST PER EQUIVALENT UNIT (3)

Step 4 is to ALLOCATE COSTS TO TRANSFERRED AND PARTIALLY COMPLETED UNITS (1)

Therefore The CORRECT ORDERING of the steps is:2, 4, 3, 1