Information from the records of Conundrum Company for September was as follows: Sales $307,500 Selling and administrative expenses 52,500 Direct materials used 66,000 Direct labor 75,000 Variable factory overhead 50,000 Factory overhead 51,250 Inventories Sept. 1 Sept 30 Direct materials $ 8,000 $10,500 Work in process 18,750 21,000 Finished goods 17,250 14,250
Information from the records of Conundrum Company for September was as follows: Sales $307,500 Selling and administrative expenses 52,500 Direct materials used 66,000 Direct labor 75,000 Variable factory overhead 50,000 Factory overhead 51,250 Inventories Sept. 1 Sept 30 Direct materials $ 8,000 $10,500 Work in process 18,750 21,000 Finished goods 17,250 14,250
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Information from the records of Conundrum Company for September was as follows:
Conundrum Company produced 20,000 units.
What is the total product cost per unit (rounded to the nearest cent)?
| Sales | $307,500 |
| Selling and administrative expenses | 52,500 |
| Direct materials used | 66,000 |
| Direct labor | 75,000 |
| Variable factory |
50,000 |
| Factory overhead | 51,250 |
| Inventories | ||
| Sept. 1 | Sept 30 | |
| Direct materials | $ 8,000 | $10,500 |
| Work in process | 18,750 | 21,000 |
| Finished goods | 17,250 | 14,250 |
Conundrum Company produced 20,000 units.
What is the total product cost per unit (rounded to the nearest cent)?
a.$12.24
b.$14.74
c.$12.11
d.$12.18
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