A company uses the weighted average method for inventory costing.
At the start of a period the production department had 40,000 units in beginning Work in Process inventory which were 30% complete; the department completed and transferred 165,000 units. At the end of the period, 12,000 units were in the ending Work in Process inventory and are 65% complete. The production department had conversion costs in the beginning goods is process inventory of $87,000 and total conversion costs added during the period are $726,550. Compute the conversion cost per equivalent unit.
Multiple Choice
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$4.92.
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$4.35.
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$4.71.
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$4.56.
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$4.77.
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