Prepaid expenses have a.not yet been paid nor recorded as expenses b.not yet been paid but recorded as expenses c.not yet been recorded as expenses but have been paid d.been recorded as expenses and paid

c.not yet been recorded as expenses but have been paid

Explanation:

Prepaid expense is a current asset that arises when an entity pays in advance for an expense to be incurred later.

Examples include insurance, rent paid in advance etc.

Hence, Prepaid expenses have not yet been recorded as expenses but have been paid.

correct option is b. 38,000 units.

Explanation:

we know as per FIFO method

equivalent units (EUP) =  Number of EUP to finish beginning WIP + Number of units started and completed + Nunmber of EUP start ending WIP    1

as here number of units started and completed  is

number of units started and completed = 38,000 unit - 8,000 unit

number of units started and completed = 30,000

and The end of the WIP is not yet 60% complete, so no materials have been added for them

so here we get

equivalent units (EUP)  = 8000 + 30,000

equivalent units (EUP)  = 38000 units

so correct option is b. 38,000 units