Refer to the scenario located in the “Analyze, Think, Communicate” section 12-5 of Ch. 12, “Job-Order, Process, and Hybrid Costing Systems” of Fundamental Managerial Accounting Concepts . This...

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Refer to the scenario located in the
“Analyze, Think, Communicate” section 12-5 of Ch. 12, “Job-Order, Process, and Hybrid Costing Systems” of
Fundamental Managerial Accounting Concepts

.
This scenario involves an altercation between Rene Alverez and Bill Sawyer and requires you to weigh in with calculations and comments on the matter.







Read
the scenario in the textbook and complete the activity below.






Compute
the equivalent cost per unit, assuming the ending inventory is considered to be 40 percent complete.






Compute
the equivalent cost per unit, assuming the ending inventory is considered to be 60 percent complete.







Write
a 350-word summary of your calculations and findings. Comment on Mr. Sawyer’s motives for establishing the percentage of completion at 60 percent rather than 40 percent.







Submit
calculations and summary.

Answered 1 days AfterSep 28, 2022

Answer To: Refer to the scenario located in the “Analyze, Think, Communicate” section 12-5 of Ch. 12,...

Prince answered on Sep 29 2022
26 Votes
Summary:
A discrepancy arose when René Alverez, the newly hired accountant, thought that the depar
tment's ending inventory was only about 40% complete, in contrast to Mr. Sawyer's estimate of the proportion of completion of the department's ending inventory at 60 percent complete in the scenario found in the "Analyze, Think, communicate" section 12-5 of Ch. 12 of Fundamental Managerial Accounting Concepts, "Job-Order, Process, and Hy
id Costing Systems." Ms. Alverez signed Mr. Sawyer's estimate even though she thought she was co
ect. According to the scenario, the corporation started with a starting inventory of 5.500 units, began producing 94,500 units, and transfe
ed 90000...
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