Which of the following is not correct?
A)Equivalent units of production are used to determine the cost per unit of all products, whether completed or not.
B)The equivalent units of production of ten units that are 20% complete is two full units.
C)Equivalent units of production is an expression of the number of units that would have been started and finished if all of the effort were directed at that purpose.
D)The weighted-average method of computing equivalent units assumes that products are at the same point of completion for both materials and conversion costs.

Question

Quizplus · Accepted Answer

The weighted-average method does not assume that products are at the same point of completion for both materials and conversion costs. It averages the costs of the work done in the current period with the costs of work done in previous periods, without making assumptions about the uniformity of completion levels across different cost categories.

Which of the Following Is Not Correct