The first processing department of BAKAL CO., the Welding Department, started the month with 18,000 units in its beginning work in process inventory that were 60% INCOMPLETE with respect to conversion costs. The conversion cost in this beginning work in process inventory was P64,800. An additional 84,000 units were started into production during the month and 78,000 units were completed and transferred to the next processing department. At the end of the month, there were 24,000 units in the ending work in process inventory that were 30% incomplete with respect to conversion costs. A total of P431,520 in conversion costs were incurred in the department during the month. What would be the cost per equivalent unit for conversion costs for the month if the department uses FIFO?
The first processing department of BAKAL CO., the Welding Department, started the month with 18,000 units in its beginning work in process inventory that were 60% INCOMPLETE with respect to conversion costs. The conversion cost in this beginning work in process inventory was P64,800. An additional 84,000 units were started into production during the month and 78,000 units were completed and transferred to the next processing department. At the end of the month, there were 24,000 units in the ending work in process inventory that were 30% incomplete with respect to conversion costs. A total of P431,520 in conversion costs were incurred in the department during the month. What would be the cost per equivalent unit for conversion costs for the month if the department uses FIFO?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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The first processing department of BAKAL CO., the Welding Department, started the month with 18,000 units in its beginning work in process inventory that were 60% INCOMPLETE with respect to conversion costs. The conversion cost in this beginning work in process inventory was P64,800. An additional 84,000 units were started into production during the month and 78,000 units were completed and transferred to the next processing department. At the end of the month, there were 24,000 units in the ending work in process inventory that were 30% incomplete with respect to conversion costs. A total of P431,520 in conversion costs were incurred in the department during the month. What would be the cost per equivalent unit for conversion costs for the month if the department uses FIFO?
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