Reference no: EM132182062
Question - Sparky Corporation uses the FIFO method of process costing. The following information is available for February in its Molding Department:
Units:
Beginning Inventory: 29,000 units, 100% as to materials and 60% as to conversion.
Units started and completed: 114,000.
Units completed and transferred out: 143,000.
Ending Inventory: 32,000 units, 100% as to materials and 25% as to conversion.
Costs:
Costs in beginning Work in Process - Direct Materials: $47,000.
Costs in beginning Work in Process - Conversion: $52,850.
Costs incurred in February - Direct Materials: $320,650.
Costs incurred in February - Conversion: $603,150.
Calculate the cost per equivalent unit of conversion.
$5.38
$3.58
$2.80
$3.81
$4.51