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Custom Computers is a company started by two engineering students to assemble and market personal computers to faculty and students. The company operates out of the garage of one of the students' homes. From the following costs of a recent month, compute the total cost function and total cost for the month:
Telephone $ 50, fixed Utilities 200: fixed, 40% attributable to the garage, 60% to the house Advertising 85, fixed Insurance 65, fixed Materials 18,000, variable, for 12 computers Labor 2,060: $1,100 fixed plus $960 for hourly help for assembling five computers
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What were the equivalent units for conversion costs for February if the beginning inventory was 70% complete as to conversion costs and the ending inventory was 40% complete as to conversion costs?
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