1.

When the authors of your book

discuss the building block of process
costing, which of the following items
are considered building blocks?
A. Conversion cost and equivalent
units of production.
B. Direct labor and conversion
C. Direct materials and direct labor.
D. Direct materials and direct labor.
2. Which of the following is the
formula to compute equivalent units of
production?

A. Conversion cost/ Total costs

B. Number of units totally completed X
[(Number of units totally completed +
Number of units partially complete) /
Total units totally or partially
completed]
C. Number of units totally completed X
(Number of units totally completed /
Total units totally or partially
completed)
D. Number of partially completed units
X Percentage of process completed