Question
Charlie Chairs? Inc., manufactures plastic moldings for car seats. Its costing system utilizes two cost? categories, direct materials and conversion costs. Each product must pass
Charlie Chairs? Inc., manufactures plastic moldings for car seats. Its costing system utilizes two cost? categories, direct materials and conversion costs. Each product must pass through Department A and Department B. Direct materials are added at the beginning of production. Conversion costs are allocated evenly throughout production. Data for Department A for February 2017 are?:
Work in process, beginning? inventory, 30% converted 200 units
Units started during February 1,000 units
Work in process, ending inventory 240 units
Costs for Department A for February 2017 are:
Work in process, beginning inventory:
Direct materials $150,000
Conversion costs $208,000
Direct materials costs added during February $606,000
Conversion costs added during February $431,000
What is the unit cost per equivalent unit of beginning inventory in Department? A? (Round the final answer to the nearest whole? dollar.)
A. ?$2,717
B. ?$4,217
C.?$3,735
D. ?$750
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