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Question - The company manufactures a single product that requires two units of direct material per finished unit. The 35,000 units of direct material in inventory were purchased in November for $105,000. (Assume no beginning inventory). In November, the company produced 12,000 finished units. At the 12,000 finished production level, the standard cost for direct material totaled $60,000. Also the unfavorable quantity variance was $2,500.
Compute the actual units of direct material used in November.
The cost principle requires that the assets are recorded at cost. Why do you think this is important? What are some of the major classes of plants assets
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Several not-for-profit organizations use television campaigns to obtain pledges to contribute cash. Some people think that not-for-profit entities should recognize pledges as revenues when the cash is actually received.
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