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When Using a Process Costing System, the Formula to Reconcile

Question 49

Multiple Choice

When using a process costing system, the formula to reconcile the physical unit flow is


A) Beginning WIP units + Units started = Units transferred out + Ending WIP units
B) Beginning WIP units + Units transferred out = Units started + Ending WIP units
C) Units started – Beginning WIP units= Units transferred out + Ending WIP units
D) Beginning WIP units + Units transferred out = Units started – Ending inventory

Correct Answer:

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