Dessa Cabinetry, Inc., manufactures standard sized modular cabinet units for kitchens and other applications within the home. Its costing system utilizes two cost categories, direct materials and conversion costs. Each product must pass through the rough cut department and the finish department. Direct materials are added at the beginning of production. Conversion costs are allocated evenly throughout production. Data for Finishing Department for March 2017 are: Work in process, beginning inventory, 20% converted 1000 units Units started during February 1800 units Work in process, ending inventory 500 units Costs for Finishing Department for March 2017 are: Work in process, beginning inventory: Direct materials $200, 000 Conversion costs $204, 000 Direct materials costs added during February $428, 000 Conversion costs added during February $141, 000 How many units were completed and transferred out of the Finishing Department during March? A) 1000 units B) 1800 units C) 2300 units D) 2660 units
Dessa Cabinetry, Inc., manufactures standard sized modular cabinet units for kitchens and other
applications within the home. Its costing system utilizes two cost categories, direct materials and
conversion costs. Each product must pass through the rough cut department and the finish department. Direct materials are added at the beginning of production. Conversion costs are allocated evenly throughout production. Data for Finishing Department for March 2017 are: Work in process, beginning inventory, 20% converted 1000 units Units started during February 1800 units Work in process, ending inventory 500 units Costs for Finishing Department for March 2017 are: Work in process, beginning inventory: Direct materials $200, 000 Conversion costs $204, 000 Direct materials costs added during February $428, 000 Conversion costs added during February $141, 000 How many units were completed and transferred out of the Finishing Department during March? A) 1000 units B) 1800 units C) 2300 units D) 2660 units
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