18 Data for a bicycle company are provided below: Direct Conversion Materials Cost per equivalent unit this period $3.00 $5.00 Cost in beginning work-in-process inventory $24,000 $29,400 Equivalent units to complete beginning inventory 0 2,400 Units started and completed this period 26,000 26,000 Equivalent units in completed ending 12,000 4,800 inventory Materials are added at the beginning of the production process. Conversion costs are added uniformly throughout the production process. Assuming a FIFO flow of costs, what is this company's computed total production cost transferred out during the period? $208,000 You Selected $261,400 Correct $273,400 $285,400
18 Data for a bicycle company are provided below: Direct Conversion Materials Cost per equivalent unit this period $3.00 $5.00 Cost in beginning work-in-process inventory $24,000 $29,400 Equivalent units to complete beginning inventory 0 2,400 Units started and completed this period 26,000 26,000 Equivalent units in completed ending 12,000 4,800 inventory Materials are added at the beginning of the production process. Conversion costs are added uniformly throughout the production process. Assuming a FIFO flow of costs, what is this company's computed total production cost transferred out during the period? $208,000 You Selected $261,400 Correct $273,400 $285,400
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Data for a bicycle company are provided below:
| Direct Materials | Conversion | |
| Cost per equivalent unit this period | $3.00 | $5.00 |
| Cost in beginning work-in-process inventory | $24,000 | $29,400 |
| Equivalent units to complete beginning inventory | 0 | 2,400 |
| Units started and completed this period | 26,000 | 26,000 |
| Equivalent units in completed ending inventory | 12,000 | 4,800 |
Materials are added at the beginning of the production process. Conversion costs are added uniformly throughout the production process.
Assuming a FIFO flow of costs, what is this company’s computed total production cost transferred out during the period?
-
Correct$273,400
Transcribed Image Text:18 Data for a bicycle company are provided below:
Direct
Conversion
Materials
Cost per equivalent unit this period
$3.00
$5.00
Cost in beginning work-in-process
inventory
$24,000
$29,400
Equivalent units to complete beginning
inventory
0
2,400
Units started and completed this period
26,000
26,000
Equivalent units in completed ending
12,000
4,800
inventory
Materials are added at the beginning of the production process. Conversion
costs are added uniformly throughout the production process.
Assuming a FIFO flow of costs, what is this company's computed total
production cost transferred out during the period?
$208,000
You Selected
$261,400
Correct
$273,400
$285,400
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