Overboard Corporation uses the first-in, first-out method in its process costing system. In the Cutting Department in June, units were 80% complete with respect to conversion in the beginning work in process inventory and 25% complete with respect to conversion in the ending work in process inventory. Other data for the department for June follow: The cost per equivalent unit for conversion cost is closest to:
A) $1.81
B) $1.35
C) $1.29
D) $1.82

Question

Overboard Corporation uses the first-in, first-out method in its process costing system. In the Cutting Department in June, units were 80% complete with respect to conversion in the beginning work in process inventory and 25% complete with respect to conversion in the ending work in process inventory. Other data for the department for June follow:  The cost per equivalent unit for conversion cost is closest to:
A) $1.81 
B) $1.35 
C) $1.29 
D) $1.82

Quizplus · Accepted Answer

The Answer of Overboard Corporation uses the first-in, first-out method in its process costing system. In the Cutting Department in June, units were 80% complete with respect to conversion in the beginning work in process inventory and 25% complete with respect to conversion in the ending work in process inventory. Other data for the department for June follow:  The cost per equivalent unit for conversion cost is closest to:
A) $1.81 
B) $1.35 
C) $1.29 
D) $1.82

Overboard Corporation Uses the First-In, First-Out Method in Its Process