Peterson Enterprises manufactures picture frames.Its production operations are divided into two departments - Assembly and Finishing.The company uses a process costing system.Peterson incurred the following costs during the year to produce 5,600 picture frames:

If Peterson can only sell 5,800 picture frames during the year,what will be the cost per unit of the picture frames produced? (Round your answer to the nearest cent. )

Question

Peterson Enterprises manufactures picture frames.Its production operations are divided into two departments - Assembly and Finishing.The company uses a process costing system.Peterson incurred the following costs during the year to produce 5,600 picture frames:

If Peterson can only sell 5,800 picture frames during the year,what will be the cost per unit of the picture frames produced? (Round your answer to the nearest cent. )

Quizplus · Accepted Answer

B)Total costs / number of units produced = cost per unit
$11,450 / 5,600 = $2.04

Peterson Enterprises Manufactures Picture Frames