Shellenberger Company provided the following information for last year:

During the year, direct materials purchases amounted to $270,000, direct labor cost was $320,000, and overhead cost was $490,000. During the year, 25,000 units were completed.

Required:

1. Calculate the total cost of direct materials used in production.
2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost.
3. Of the unit manufacturing cost calculated in Requirement 2, $11 is direct materials and $12 is overhead. What is the prime cost per unit? Conversion cost per unit?

Transcribed Image Text:

Beginning inventory: Direct materials $41,600 Work in process 26,000 Finished goods 75,000