How many chairs were in inventory at the beginning of the month? Conversion costs are incurred uniformly over the production cycle

ACCOUNTING

Multiple Choice

The Rest-a-Lot Chair Company manufacturers a standard recliner. During February, the firm's Assembly Department started production of 75,000 chairs. During the month, the firm completed 85,000 chairs and transferred them to the Finishing Department. The firm ended the month with 10,000 chairs in ending inventory. All direct materials costs are added at the beginning of the production cycle. Weighted-average costing is used by Rest-a-Lot.


How many chairs were in inventory at the beginning of the month? Conversion costs are incurred uniformly over the production cycle.

a. 10,000 chairs

b. 20,000 chairs

c. 15,000 chairs

d. 25,000 chairs

Click here for the SOLUTION