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ID: 2581423 • Letter: N

Question

nent/takeAssignmentMain.do?invoker-assignments&takeAssignmentSessionlocator-assignment-take;&inprogress; false eBook Prime Cost and Conversion Cost Grin Company manufactures digital cameras. In January, Grin produced 6,250 cameras with the following costs: Direct materials Direct labor Manufacturing overhead There were no beginning or ending inventories of WIP. $560,000 112,000 640,000 If required, round your answers to the nearest cent. 1. What was the total prime cost in January? 2. What was the prime cost per unit in January? per unit 3. What was the total conversion cost in January? 4. What was the conversion cost per unit in January? per unit Previous to

Explanation / Answer

Direct material

560000

direct labor

112000

manufacturing overhead

640000

total prime cost

Direct material+ direct labor

672000

prime cost per unit

total prime cost/ no of units

107.52

total conversion cost

direct labor+ manufacturing overhead

752000

conversion cost per unit

total conversion cost/no of units

120.32

no of units produced

6250