Answered step by step
Verified Expert Solution
Question
1 Approved Answer
For the month of June, Clara Gum Company had cost per equivalent unit of $0.60 for materials (sugar, artificial flavors, etc.) and $.80 for conversion
For the month of June, Clara Gum Company had cost per equivalent unit of $0.60 for materials (sugar, artificial flavors, etc.) and $.80 for conversion costs (labor and overhead). At Clara Gum, units are measured in packs. The company began the month with 5,000 packs of gum. By the end of the month, the company had completed 55,000 packs, and 9,000 packs were in process. The in-process units were 100 percent complete with respect to material and 60 percent complete with respect to labor and overhead. How much is the cost of items completed and transferred to finished goods inventory?
For the month of June, Clara Gum Company had cost per equivalent unit of $0.60 for materials (sugar, artificial flavors, etc.) and $.80 for conversion costs (labor and overhead). At Clara Gum, units are measured in packs. The company began the month with 5,000 packs of gum. By the end of the month, the company had completed 55,000 packs, and 9,000 packs were in process. The in-process units were 100 percent complete with respect to material and 60 percent complete with respect to labor and overhead. How much is the cost of items completed and transferred to finished goods inventory?
| A. | ||
| B. | ||
| C. | ||
| D. |
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
Fundamental financial accounting concepts
Authors: Thomas P. Edmonds, Frances M. Mcnair, Philip R. Olds, Edward
8th edition
978-007802536, 9780077648831, 0078025362, 77648838, 978-0078025365
