5) Richards Corporation uses the FIFO method of process costing. The following information is available for October in its Fabricating Department: Units: Beginning Inventory: 87,000 units, 80% complete as to materials and 20% complete as to conversion. Units started and completed: 257,000. Units completed and transferred out: 344,000. Ending Inventory: 33,500 units, 30% complete as to materials and 15% complete as to conversion. Costs: Costs in beginning Work in Process - Direct Materials: $44,200. Costs in beginning Work in Process - Conversion: $86,700. Costs incurred in October - Direct Materials: $719,310. Costs incurred in October - Conversion: $926,300. Calculate the cost per equivalent unit of materials.

Multiple Choice

$2.06

$2.53

$2.16

$2.53

$2.27

12) West Company estimates that overhead costs for the next year will be $5,640,000 for indirect labor and $840,000 for factory utilities. The company uses machine hours as its overhead allocation base. If 80,000 machine hours are planned for this next year, what is the company's plantwide overhead rate?

Multiple Choice

$0.0123 per machine hour.

$10.50 per machine hour.

$81.00 per machine hour.

$70.50 per machine hour.

$0.0952 per machine hour.

During its most recent fiscal year, Dover, Inc. had total sales of $3,060,000. Contribution margin amounted to $1,430,000 and pretax income was $295,000. What amount should have been reported as fixed costs in the company's contribution margin income statement for the year in question?

Multiple Choice

$1,630,000.

$1,335,000.

$2,765,000.

$1,135,000.

$1,725,000.