Hendrix Ltd employs a process costing system. Direct materials are added at the beginning of the process. Here is information about July's activities: Using the weighted average method, the cost of the goods completed and transferred out was
A) $225,150
B) $225,060
C) $213,300
D) $213,000

Question

Quizplus · Accepted Answer

The weighted average method combines costs from the current and previous periods to calculate the cost per equivalent unit. The cost of goods completed and transferred out is calculated by multiplying the equivalent units completed by the cost per equivalent unit.

Hendrix Ltd Employs a Process Costing System