Ampco Disk Company operates a computer disk manufacturing plant. Direct materials are added at the end of the process. The following data were for June 20X5: How many units must be accounted for during the period?
A)225,000 units
B)200,000 units
C)179,500 units
D)150,000 units

Question

Ampco Disk Company operates a computer disk manufacturing plant. Direct materials are added at the end of the process. The following data were for June 20X5:    How many units must be accounted for during the period?
A)225,000 units 
B)200,000 units 
C)179,500 units 
D)150,000 units

Quizplus · Accepted Answer

The question is asking for the total number of units that must be accounted for during the period. This includes units that were in process at the beginning of the period (i.e. beginning work in process), units that were started during the period (i.e. started production), and units that were completed during the period (i.e. ending work in process). The question does not provide data on the beginning work in process or ending work in process, so we can only assume that they are both zero. Therefore, the total units that must be accounted for during the period are equal to the number of units that were started during the period, which is given in the problem as 200,000 units. Therefore, the best choice is B) 200,000 units.

Ampco Disk Company Operates a Computer Disk Manufacturing Plant