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Vaughan Trophies had beginning inventory of 10,000 units in Department #1. During the period they started 70,000 units. At the end of the period there were 20,000 units in ending WIP that were 60% complete. The materials required for production are added at the beginning of the process. Conversion costs are added evenly throughout the production process. The weighted-average method is used. Evaluate the following statements: 1. Vaughan must have transferred 60,000 units to Department #2 this period. 2. The equivalent units of production for direct materials are 80,000 units. 3. The equivalent units of production for conversion costs are 72,000 units. O Both Statements #2 and #3 are true O Both Statements #1 and #2 are true Both Statements #1 and #3 are true o Only Statement #3 is true All of the Statements are false O Only Statement #1 is true Only Statement #2 is true O All of the Statements are true Cai Corporation uses a job-order costing system and has provided the following partially completed T-account summary for the past year: (There should be a picture of a T- Account below - if not, give it a moment for your WIFI muscle to kick in) Raw Materials Bal. 1/1 17,000 Credits ? Debits 97.000 Bal. 12/31 30,000 Work In Process Bal. 1/1 19,000 Direct materials 74,000 506,000 Direct labor 13,000 Overhead applied 257.000 Bal. 12/31 The cost of indirect materials requisitioned for use in production during the year was $

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