Brutus Beefcake Company manufactures tape dispensers. Its Assembly department had the following output and costs: $\begin{array}{ll}
\text { Units started and completed } & 70,000 \
\text { Started andin process } & 10,000
\end{array}$ These units had all materials added but were only 60% completed for conversion costs. Direct materials costs were $480,000; conversion costs were $240,000. The total cost of units completed and transferred to Finishing is:

Question

Quizplus · Accepted Answer

The total cost of units completed and transferred to Finishing is the sum of the direct materials costs and the conversion costs for those units. The direct materials costs are $480,000, and the conversion costs are $240,000. Therefore, the total cost of units completed and transferred to Finishing is $480,000 + $240,000 = $641,200.