A production department's beginning inventory cost includes $450,000 of conversion costs. This departmentincurs an additional $927,500 in conversion costs in the month of March. Equivalent units of production forconversion total 850,000 for March.Calculate the cost per equivalent unit of conversion using the weighted-average method.Choose NumeratorCost per equivalent unit of conversionChoose DenominatorICost per equivalent unit of production

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Description: A production department's beginning inventory cost includes $450,000 of conversion costs. This departmentincurs an additional $927,500 in conversion costs in the month of March. Equivalent units of production forconversion total 850,000 for March.Ca

Introduction:- The following formula used to calculate Cost per equivalent unit of conversion as…

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A production department's beginning inventory cost includes $450,000 of conversion costs. This di incurs an additional $927,500 in conversion costs in the month of March. Equivalent units of produc conversion total 850,000 for March. Calculate the cost per equivalent unit of conversion using the weighted-average method. Choose Numerator Cost per equivalent unit of conversion Choose Denominator Cost per equivalent unit of production

A production department's beginning inventory cost includes $450,000 of conversion costs. This di incurs an additional $927,500 in conversion costs in the month of March. Equivalent units of produc conversion total 850,000 for March. Calculate the cost per equivalent unit of conversion using the weighted-average method. Choose Numerator Cost per equivalent unit of conversion Choose Denominator Cost per equivalent unit of production

FINANCIAL ACCOUNTING

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Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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Concept explainers

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.

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A production department's beginning inventory cost includes $450,000 of conversion costs. This department
incurs an additional $927,500 in conversion costs in the month of March. Equivalent units of production for
conversion total 850,000 for March.
Calculate the cost per equivalent unit of conversion using the weighted-average method.
Choose Numerator
Cost per equivalent unit of conversion
Choose Denominator
I
Cost per equivalent unit of production

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A company started a new product, and in the first month started 64,735 units. The ending work in process inventory was 16,040 units that were 100% complete with materials and 67% complete with conversion costs. There were 16,040 units to account for, and the equivalent units for materials was $6 per unit while the equivalent units for conversion was $9 per unit. What is the value of the inventory transferred out, using the weighted-average inventory method?
Loanstar had 50 units in beginning inventory before starting 900 units and completing 750 units. The beginning work in process inventory consisted of $2,000 in materials and $5,000 in conversion costs before $8,450 of materials and $9,450 of conversion costs were added during the month. The ending WIP inventory was 100% complete with regard to materials and 50% complete with regard to conversion costs. Use the above information to complete a production cost report. Enter all amount as positive values. Production Cost Report Work in process completion percent 100% 50% Material Units Conversion Units Total UnitS Completed and transferred out Ending work in process Total units to account for Materials Conversion Total Costs to account for $4 $4 Beginning work in process Incurred during the period $4 Total costs to account for Equivalent units Cost per equivalent unit for department $ %24 %24 %24
Subject: accounting
A production department's beginning inventory cost includes $490,000 of conversion costs. This department incurs an additional $1,037,500 in conversion costs in the month of March. Equivalent units of production for conversion total 925,000 for March. Calculate the cost per equivalent unit of conversion using the weighted-average method. Cost per equivalent unit of conversion Choose Numerator Choose Denominator Cost per equivalent unit of production
Complete the production cost report using FIFO.
Star Plastic company produces plastic cups. table below are the data for April 2019. Star Plastic uses the weighted average method for inventory calculations. raw materials are added at the beginning of the production process while conversion costs are added evenly throughout the process. calculate equivalent units (EU) for DIRECT MATERIALS Physical Units Direct Conversion Materials Costs $ 13,332 Work in process, beginning inventory (April 1) Degree of completion of beginning work in process Started during April Good units completed and transferred out during April Work in process, ending inventory (April 30) Degree of completion of ending work in process Total costs added during April Normal spoilage as a percentage of good units Degree of completion of normal spoilage Degree of completion of abnormal spoilage 2,400 $21,240 100% 50% 12,000 10,800 2,160 100% 75% $97,560 $111,408 10% 100% 100% 100% 100%
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If 500 units were one-fourth completed at May 31, 5,500 units were completed during May, and the first-in, first-out method is used, what was the number of equivalent units of production with respect to conversion costs for May? a. 4,875 b. 4,500 c. 5,625 d. 5,500 2. What is the conversion cost per equivalent unit? a. $10 b. $25 c. $32 d. $15