nerdexam
Microsoft

MB-320 · Question #21

A company produces generic and name-brand paper plates in the same factory using standard costing and using the same Bill of materials and routes to produce both products. The finance and production…

The correct answer is A. Create a production group for the finished good item. See the full explanation below for the reasoning.

Question

A company produces generic and name-brand paper plates in the same factory using standard costing and using the same Bill of materials and routes to produce both products. The finance and production teams want a way to view individual raw material consumption costs in the ledger. You need to add a production group to control postings to the ledger. What should you do?

Options

  • ACreate a production group for the finished good item
  • BUpdate the cost of the generic finished good item
  • CCreate a production pool for the finished good item
  • DCreate a new Bill of materials with alternate costs for the raw material

How the community answered

(30 responses)
  • A
    73% (22)
  • B
    17% (5)
  • C
    3% (1)
  • D
    7% (2)

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