If the costs for direct labour, factory overhead and direct material were $873,600,
$109,200 and $53,200 respectively for 28,000 equivalent units of production, the conversion cost per equivalent unit was $35.10.

Question

Quizplus · Accepted Answer

Conversion cost per equivalent unit = (direct labour cost + factory overhead cost) / equivalent units of production
Conversion cost per equivalent unit = ($873,600 + $109,200) / 28,000
Conversion cost per equivalent unit = $982,800 / 28,000
Conversion cost per equivalent unit = $35.10

If the Costs for Direct Labour, Factory Overhead and Direct