Costs per Equivalent Unit Georgia Products Inc. completed and transferred 170,000 particle board units of production...
Costs per Equivalent Unit
Georgia Products Inc. completed and transferred 170,000 particle board units of production from the Pressing Department. There was no beginning inventory in process in the department. The ending in-process inventory was 15,000 units, which were 1/4 complete as to conversion cost. All materials are added at the beginning of the process. Direct materials cost incurred was $592,000, direct labor cost incurred was $168,890, and factory overhead applied was $39,610.
Determine the following for the Pressing Department. Round "cost per equivalent unit" answers to the nearest cent.
| a. Total conversion cost | $ |
| b. Conversion cost per equivalent unit | $ |
| c. Direct materials cost per equivalent unit | $ |
Homework Answers
| a | ||
| Direct labor cost | 168890 | |
| Factory overhead applied | 39610 | |
| Total conversion cost | 208500 | |
| b | ||
| Total conversion cost | 208500 | |
| Divide by Equivalent units | 173750 | =170000+(15000*1/4) |
| Conversion cost per equivalent unit | 1.20 | |
| c | ||
| Total Direct materials cost | 592000 | |
| Divide by Equivalent units | 185000 | =170000+15000 |
| Direct materials cost per equivalent unit | 3.20 |
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