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10th Edition
ISBN: 9781337605656
Author: CROSS
Publisher: CENGAGE L
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Chapter 11, Problem 4RE
Summary Introduction

Case summary: The government of H entered into a contract with an arms dealer known as R to buy weapons for over the six-year period. When the government was replaced in H then the government decided to reduce military size which resulted in deterioration of the relationship with R. The government H refused to honor the contract by purchasing more arms and paying lesser amounts for the same. R filed a case in the federal district court of the US to recover the damages caused.

To find: The doctrine under which R would be able to collect damages by asking another nation’s court to enforce US judgment.

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Distin Manufacturing uses the weighted-average method in its process costing system. The first processing department, the molding department, started the month with 12,000 units in its beginning work in process inventory that were 40% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $25,600. An additional 70,000 units were started into production during the month. There were 22,000 units in the ending work in process inventory of the molding department that were 60% complete with respect to conversion costs. A total of $421,350 in conversion costs were incurred in the department during the month. What would be the cost per equivalent unit for conversion costs for the month? (Round off to three decimal places.)
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