Question
#6. On January 1 st , 2019, NHL Inc. had a Beginning Work-in-Process balance of $50,000 ($40,000 of Direct Materials and $10,000 of Conversion) which
#6.
On January 1st, 2019, NHL Inc. had a Beginning Work-in-Process balance of $50,000 ($40,000 of Direct Materials and $10,000 of Conversion) which consisted of 15,000 units which were 40% complete with respect to conversion costs.
During January, NHL started production on an additional 20,000 units and incurred $30,000 in Materials and $50,000 in Conversion costs.
NHL's Ending Work-In-Process consisted of 6,000 units which were 80% complete with respect to conversion costs.
NHL produces a single product. All direct materials are added at the start of the production process while conversion costs are incurred uniformly.
NHL uses a weighted-average process costing system.
What is NHL's cost per equivalent unit with respect to materials costs for January?
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Financial Accounting Tools for Business Decision Making
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
9th edition
1-119-49356-3, 1119493633, 1119493560, 978-1119493631
