mebapps/as OEMPLOYERSPORTAL × Localtader de Farma https://or Maing to another qu

Question

mebapps/as OEMPLOYERSPORTAL × Localtader de Farma https://or Maing to another question will save this response Question 20 furniure manufacturer ofers the following information 0 units 27 E00 units 9200 units 18,400 units $281 ,480 $582 000 PIwentory, January 1 tadted completed and transferred out P Inventory December 3 ct materials abor enead hautsr endngwi Irwentor reretAcompleteformatenais and 40% complete for conversion costs. 31, the cost per equialent unit for conwersion c 58214 955.13 Movirg to nathser quasion will save his response p 0

Explanation / Answer

The answer is $55.13 per eq. unit

The explanation is as follows:

Total conversion cost for current month:' Labour cost 582000 Overhead cost 330920 Total conversion cost    912920 Equivalent units for conversion cost: 100% in Units completed and transferred 9200 units 40% complete for Closing WIP(18400*40%) 7360 units Total Equivalent units for conversion cost 16,560 units Therefore, cost per equivalent unit of conversion cost = 912920 / 16560 = $ 55.13 per eq. unit

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