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. Conversion costs are allocated evenly throughout production. Data for Department A for February 2017 are: Work in process, beginning inventory, 50% complete for materials, 25% complete for conversion 400 units Units started during February 1,000 units Work in process, ending inventory, 40% complete for materials, 10% complete for conversion 250 units Costs for Department A for February 2017 are: Work in process, beginning inventory: Direct materials $4,500 Conversion costs $17,500 Direct materials costs added during February $10,500 Conversion costs added during February $43,000 How many equivalent units were produced for conversion by Department A during February? A. 1,075 units B. 1,150 units C. 1,000 units D. 750 units
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started