Question

Question 13 --/1 View Policies Current Attempt in Progress port Materials costs of $1100000 and conversion costs of $1540000 were charged to a processing department in the month of September. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. There were no units in beginning work in process, 20000 units were started into production in September, and there were 5000 units in ending work in process that were 30% complete at the end of September. What was the total amount of manufacturing costs assigned to work in process ending inventory at the end of September? (For the intermediate calculations of unit material cost and unit conversion cost, round to four decimal points.) O $415000. O $275000 O$660000. O $770000.

Answer 1

Equivalent unit of material = 20000

Equivalent unit of conversion = 15000+(5000*30%) = 16500

Cost per equivalent unit of material = 1100000/20000 = 55

Cost per equivalent unit of conversion = 1540000/16500 = 93.3333

Cost of ending WIP = (5000*55+1500*93.3333) = 415000

So answer is a) $415000