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Gizmo Manufacturer,a Widgets Manufacturing Company,divides Its Production Operations into Three

Question 93

Multiple Choice

Gizmo Manufacturer,a widgets manufacturing company,divides its production operations into three processes-Department 1,Department 2,and Department 3.The company uses a process costing system.Gizmo incurred the following costs during the year to produce 4,600 units:  Department 1 $17,500 Department 2 6,000 Department 3 10,000\begin{array} { | l | r | } \hline \text { Department 1 } & \$ 17,500 \\\hline \text { Department 2 } & 6,000 \\\hline \text { Department 3 } & 10,000 \\\hline\end{array} If Gizmo could sell only 3,600 units in during the year,what will be the cost per unit of widget produced? (Round your answer to the nearest cent.)


A) $5.11
B) $3.80
C) $9.31
D) $7.28

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