Question

To reconcile the number of physical units using the weighted average method of process costing, one must determine whether the units were:

using direct materials or conversion costs at the end of the period.

in the next production process or sold at the end of the period.

completed or still in process at the end of the period.

sold or still in inventory at the end of the period.

Answer 1

Correct answer:

Option( 3) or completed or still in process at the end of the period is the correct answer because to reconcile the number of physical units using the weighted average method of process costing one must determine whether the units were completed or still working on the same process to complete the process at the end of the period.The work may be completed or still work is going on at the end of the year.

Incorrect answer:

Option(1) or using direct materials or conversion costs at the end of the period is incorrect answer because it includes the units completed or still in process at the end of the period.

Option (2) or in the next production process or sold at the end of the period is incorrect answer because units completed or still in process at the end of the period is the correct answer.

Option (4) or sold or still in inventory at the end of the period is incorrect answer because one must determine whether the units were completed or still in process at the end of the period.

So correct answer is option (3)