Manufacturing co. had 500 Units, three fifths completed, in process at the begin

Question

Manufacturing co. had 500 Units, three fifths completed, in process at the beginning of the month. During the month, 2,000 units were started in process and finished. There was no work in process at the end of the month. Unit cost of production for the month was $1.20 . Costs for materials, labor and factory overhead incurred in the current month totaled $2655.

Caculate the unit cost for the prior month. (Hint you must first determine what the dollar balance in work in process must have been at the beginning of the month).

Explanation / Answer

2000*1.20=$2400 $2655-$2400=$255 WIP Inv at beg of the month 500*3/5=300 units complete in prior month 500-300=200 units in WIP inv at beg of the monts $255/200=$1,275/unit - cost per unit of prior monts

Related Questions

Navigate

• Browse (All)
• Browse M
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.