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Compute conversion costs given the following data: direct matenals, $399,200; direct labor, $202,300; factory overhead, $219,
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Answer #1

Answer:

d) $ 421,700

i.e. Conversion Cost = Direct Labor + Factory Overhead = $ 202,300 + $ 219,400 = $ 421,700

Explanation:

Conversion costs include Direct Labor and Manufacturing Factory Overhead expenses incurred due to the transformation of raw materials into finished products.

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