Intask Corporation uses the FIFO method in its process costing system. Beginning inventory in the mixing department consisted of 7,800 units that were 75% complete with respect to conversion costs. Ending work in process inventory consisted of 6,800 units that were 60% complete with respect to conversion costs. If 15,600 units were transferred to the next processing department during the period, the equivalent units of production for conversion cost would be:

Garrison 16e Rechecks 2017-08-28

• 13,830 units

• 17,550 units

• 16,550 units

• 16,600 units

Perteet Corporation's relevant range of activity is 7,200 units to 14,000 units. When it produces and sells 10,600 units, its average costs per unit are as follows:

	Average Cost per Unit
Direct materials	$	7.50
Direct labor	$	3.80
Variable manufacturing overhead	$	2.00
Fixed manufacturing overhead	$	3.50
Fixed selling expense	$	0.80
Fixed administrative expense	$	0.50
Sales commissions	$	0.60
Variable administrative expense	$	0.65

If 7,800 units are produced, the total amount of manufacturing overhead cost is closest to:

rev: 09_27_2017_QC_CS-102296

Multiple Choice

• $52,700

• $29,240

• $62,940

• $37,400