rozman company produces calenders in a one department process. Work - in-process
ID: 2470394 • Letter: R
Question
rozman company produces calenders in a one department process.
Work - in-process inventory, begining 0
units started 15000
units completed and transferred 12000
work-in- process inventory, ending 3000
Direct materials added 30000
direct labor 20700
Factory overhead costs 10350
The units in process at the end of the month are 100 percent complete with respect to direct material and 50 percent complete with respect to concersion cost
Wha are the equivalent units for conversion cost for the month?
a) 3000
B) 15000
D) 12000
C) 13500
Explanation / Answer
Total Units started : 15,000
Completed : 12,000 Equivalent unit for conversion cost : 12,000 unit
Closing WIP 3,000 Equivalent unit for conversion cost (3,000 *.5) 1,500 unit
Equivalent unit for conversion cost for the Month 13,500 unit
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