If the costs of direct materials, direct labor, and factory overhead were $522,200, $82,700, and $45,300, respectively, for 16,000 equivalent units of production, the conversion cost per equivalent unit was $8.

Question

Quizplus · Accepted Answer

Conversion cost per equivalent unit = (Direct labor cost + Factory overhead cost) / Equivalent units of production
Conversion cost per equivalent unit = ($82,700 + $45,300) / 16,000
Conversion cost per equivalent unit = $128,000 / 16,000
Conversion cost per equivalent unit = $8

If the Costs of Direct Materials, Direct Labor, and Factory