LuLu, Inc. manufactures a product that passes through two processes: mixing and moulding. All manufacturing costs are added uniformly in the mixing department.
Information for the mixing department for May follows:
During May, 25,000 units were completed and transferred to the moulding department. The following costs were incurred by the mixing department during May:
Work in process, May 1:
By May 31, 2,500 units that were 80% complete remained in the mixing department. LuLu uses the weighted average method.
-Refer to the Figure.What would be LuLu's cost of goods transferred to the moulding department during May?
A) $210,000
B) $261,050
C) $281,500
D) $294,000
Correct Answer:
Verified
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