Question Details

Accounting Homework Help

What is the unit cost per equivalent unit of beginning inventory in Department A? (Ignore the answer I have marked down right now)

I'm not sure what I'm doing wrong. I added DM + CC from beg inv. and got 373,000. Then I'm dividing by 400 units from beg. WIP.

Charlie Chairs Inc., manufactures plastic moldings for car seats. Its costing system utilizes two cost categories, direct materials and conversion costs. Each product must pass through Department A and Department B. Direct materials are added at the beginning of production. Conversion costs are allocated evenly throughout production. Data for Department A for February 2017 are: Work in process, beginning inventory, 30% converted Units started during February Work in process, ending inventory 400 units 960 units 240 units Costs for Department A for February 2017 are Work in process, beginning inventory $170,000 S203.000 S602,000 $430,000 Direct materials Conversion costs Direct materials costs added during February Conversion costs added during February OA. $2.223 B. $1,267 C. $425 D. $2.117