TRUE/FALSE 1) If a department that applies process costing starts the reporting period with 50,000 physical its 25% complete with respect to direct materials and 40% complete with respect to direct labor, it must equivalent units of direct materials and 20,000 equivalent units of direct labor to complete them. add 12,500 2) If a department that applies process costing starts the reporting period with 40,000 physical units that 80% complete with respect to direct materials and 50% complete with respect to direct labor, it must add 8 equivalent units of direct materials and 20,000 equivalent units of direct labor to complete them. 2) ,000 3) Once equivalent units are calculated for materials, this number will also be used for direct labor and fac overhead tory 4) In the same time period, it is possible that a production department can produce 1,000 equivalent finished units with respect to direct materials and 1,200 equivalent finished units with respect to direct labor.4) 5) The number of equivalent units of production assigned to ending Work in Process inventory should be equal to or less than the number of physical units in ending Work in Process inventory 6) If the predetermined overhead allocation rate is 245% of direct labor cost and the Baking Department's direct labor cost for the reporting period is $10,000, a credit to Factory Overhead for 24,500 would be made to record the allocation of overhead to the products processed in this department. 7) A unique feature of process costing systems is the use of a single Work in Process Inventory account regardless of the number of production departments that exist 8) Use of a single Work in Process Inventory account applies to process costing but not to job order cost accounting 9) A company's beginning work in Process inventory consisted of 20,000 units that were 20% complete with respect to direct labor. These beginning units were completed and another 90,000 units were started during the current period. Of those started 60,000 were finished and the remaining 30,000 were 40% complete at the end of the period. Using the weighted-average method, the equivalent units of production with regard to direct labor were 92,000 10) Sparky Corporation uses the FIFO method of process costing. The following information is available for February in its Molding Department Units: Beginning Inventory 25,000 units, 100% complete as to materials and 55% complete as to conversion. Units started and completed: 110,000. Units completed and transferred out: 135,000. Ending Inventory: 30,000 units, 100% complete as to materials and 30% complete as to conversion. 10) The equivalent units of materials is 140,000