Production costs chargeable to the Sanding Department in July in Magnum Company are $30000 for materials $17000 for labor and $13000 for manufacturing overhead. Equivalent units of production are 30000 for materials and 20000 for conversion costs.
Instructions
Compute the unit costs for materials and conversion costs.

Question

Ruchika Batish · Accepted Answer

Final Answer :   COSTS  	ext { COSTS }  COSTS       Unit Costs  ‾  Materials  ‾  Conversion Costs ‾  Total  ‾  Costs in July  $ 30.000 ‾ $ 30.000 ‾ $ 60.000 ‾  Equivalent units 30.000 ‾ 20.000 ‾  Unit costs $ 1.00 ‾ $ 1.50 ‾ $ 2.50 ‾ \begin{array}{llr}   \underline{	ext { Unit Costs }}  &  \underline{	ext { Materials }}  &  \underline{ 	ext { Conversion Costs} } &  \underline{ 	ext { Total }}\ 	ext { Costs in July }  &  \underline{\$30.000} &  \underline{\$30.000} &  \underline{\$60.000}\ 	ext {  Equivalent units}  &  \underline{30.000} &  \underline{20.000}\ 	ext {  Unit costs}  &  \underline{\$1.00} &  \underline{\$1.50} &  \underline{\$2.50}\\end{array}  Unit Costs  ​  Costs in July   Equivalent units  Unit costs ​  Materials  ​ $30.000 ​ 30.000 ​ $1.00 ​ ​  Conversion Costs ​ $30.000 ​ 20.000 ​ $1.50 ​ ​  Total  ​ $60.000 ​ $2.50 ​ ​

Definitions

Learning Objectives

Learning Objectives

Related questions