Business, 24.02.2020 18:54 megankbrown

How might plant managers manipulate their quarterly estimates of percentage of completion of ending WIP inventory? Why might it be to their advantage to do so? What are their incentives to misreport the percentage of completion of ending WIP inventory for each of direct materials and conversion? (Hint: think about the cost per equivalent unit calculation and how the estimate of percentage complete of ending WIP inventory is connected to that calculation).

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