Question

Domingo Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 2,300 units. The costs and percentage completion of these units in beginning inventory were:

	Cost				Percent Complete
Materials costs	$	7,400				50%
Conversion costs	$	3,600				20%

A total of 8,700 units were started and 8,000 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month:

	Cost
Materials costs	$	160,600
Conversion costs	$	122,300

The ending inventory was 85% complete with respect to materials and 75% complete with respect to conversion costs.

The cost per equivalent unit for materials for the month in the first processing department is closest to:

Multiple Choice

• $11.21

• $11.98

• $15.92

• $11.73

Question 2

Raider Corporation uses the weighted-average method in its process costing system. The Molding Department is the second department in its production process. The data below summarize the department’s operations in January.

	Units				Percent Complete with Respect to Conversion
Beginning work in process inventory		8,600				10	%
Transferred in from the prior department during January		73,000
Completed and transferred to the next department during January		72,800
Ending work in process inventory		8,800				80	%

The Molding Department’s cost per equivalent unit for conversion cost for January was $3.28. How much conversion cost was assigned to the ending work in process inventory in the Molding Department for January?

Multiple Choice

• $22,115.70

• $28,864.00

• $23,091.20

• $5,772.80