Which of the Following Is True When Computing Cost Per

Multiple Choice

Which of the following is true when computing cost per equivalent unit in a FIFO process costing system?

A) Prior period costs are combined with costs incurred in the current period and then divided by the equivalent units of production.
B) Costs incurred in the current period are divided by the equivalent units of production.
C) Total cost to account for is divided by the equivalent units of production.
D) Equivalent units of production are divided by costs incurred in the current period.
E) Equivalent units of production are divided by cost to account for.