Use this information about Carmelita Inc. to answer the question that follows. Carmelita Inc. has the following information available: Costs from Beginning Inventory Costs from Current Period Direct materials $4,200 $23,500 Conversion costs 5,000 141,500 At the beginning of the period, there were 400 units in process that were 40% complete as to conversion costs and 100 complete as to direct materials costs. During the period, 5,500 units were started and completed. Ending inventory contained 400 units that were 23% complete as to conversion costs and 100% complete as to materials costs. The company uses the FIFO cost flow method. The cost of completing a unit of product during the current period was (rounded to the nearest cent) a.$33.89 b.$28.25 c.$24.26 d.$42.37
Use this information about Carmelita Inc. to answer the question that follows. Carmelita Inc. has the following information available: Costs from Beginning Inventory Costs from Current Period Direct materials $4,200 $23,500 Conversion costs 5,000 141,500 At the beginning of the period, there were 400 units in process that were 40% complete as to conversion costs and 100 complete as to direct materials costs. During the period, 5,500 units were started and completed. Ending inventory contained 400 units that were 23% complete as to conversion costs and 100% complete as to materials costs. The company uses the FIFO cost flow method. The cost of completing a unit of product during the current period was (rounded to the nearest cent) a.$33.89 b.$28.25 c.$24.26 d.$42.37
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Use this information about Carmelita Inc. to answer the question that follows.
Carmelita Inc. has the following information available:
Costs from Beginning Inventory
Costs from Current Period
$4,200
$23,500
Conversion costs 5,000
141,500
At the beginning of the period, there were 400 units in process that were 40% complete as to conversion costs and 100%
complete as to direct materials costs. During the period, 5,500 units were started and completed. Ending inventory
contained 400 units that were 23% complete as to conversion costs and 100% complete as to materials costs. The
company uses the FIFO cost flow method.
The cost of completing a unit of product during the current period was (rounded to the nearest cent)
Direct materials
a.$33.89
b.$28.25
c.$24.26
d.$42.37
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