Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the motor drives for several accounts. The process consists of a lean cell for each customer. The following information relates to only one customer's lean cell for the coming year. For the year, projected labor and overhead was $3,678,300 and materials costs were $32 per unit. Planned production included 5,856 hours to produce 18,300 motor drives. Actual production for August was 1,980 units, and motor drives shipped amounted to 1,390 units. Conversion costs are applied based on units of production From the foregoing information, determine the cell conversion cost rate. Oa. $2,646.26 Ob. $1,857.73 Oc. $201.00 Od. $628.13

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the motor drives for several accounts. The process
consists of a lean cell for each customer. The following information relates to only one customer's lean cell for the coming year. For the year, projected labor and overhead was
$3,678,300 and materials costs were $32 per unit. Planned production included 5,856 hours to produce 18,300 motor drives. Actual production for August was 1,980 units, and motor
drives shipped amounted to 1,390 units. Conversion costs are applied based on units of production
From the foregoing information, determine the cell conversion cost rate.
Oa. $2,646.26
Ob. $1,857.73
Oc. $201.00
Od. $628.13
Transcribed Image Text:Sifton Electronics Corporation manufactures and assembles electronic motor drives for video cameras. The company assembles the motor drives for several accounts. The process consists of a lean cell for each customer. The following information relates to only one customer's lean cell for the coming year. For the year, projected labor and overhead was $3,678,300 and materials costs were $32 per unit. Planned production included 5,856 hours to produce 18,300 motor drives. Actual production for August was 1,980 units, and motor drives shipped amounted to 1,390 units. Conversion costs are applied based on units of production From the foregoing information, determine the cell conversion cost rate. Oa. $2,646.26 Ob. $1,857.73 Oc. $201.00 Od. $628.13
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