Materials costs of $1,440,000 and conversion costs of $1,995,000 were charged to a processing department in the month of September. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. There were no units in beginning work in process, 24,000 units were started into production in September, and there were 6,000 units in ending work in process that were 50% complete at the end of September. What was the total amount of manufacturing costs assigned to those units that were completed and transferred out of the process in September? a. $2,790,000. b. $3,255,000. c. $2,576,250. d. $3,720,000.

Materials costs of $1,440,000 and conversion costs of $1,995,000 were charged to a processing department in the month of September. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. There were no units in beginning work in process, 24,000 units were started into production in September, and there were 6,000 units in ending work in process that were 50% complete at the end of September. What was the total amount of manufacturing costs assigned to those units that were completed and transferred out of the process in September? a. $2,790,000. b. $3,255,000. c. $2,576,250. d. $3,720,000.

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter6: Process Costing

Section: Chapter Questions

Problem 27E: During the month of June, the mixing department produced and transferred out 3,500 units. Ending...

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