Goodwin Enterprises Refer to Goodwin Enterprises.For April,conversion cost incurred was
A)$36,000
B)$45,000.
C)$81,000.
D)$84,000.

Question

Goodwin Enterprises  Refer to Goodwin Enterprises.For April,conversion cost incurred was
A)$36,000 
B)$45,000. 
C)$81,000. 
D)$84,000.

Quizplus · Accepted Answer

Conversion cost includes direct labor and manufacturing overhead. We are not given any information about direct labor. However, we are given the total manufacturing overhead for April, which is $81,000. Therefore, the conversion cost incurred for April is also $81,000.