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Need Help With Part C Please Oriole University uses a weighted-average process cost system to accumulate costs incurred in handling student applications in the admissions
Need Help With Part C Please
Oriole University uses a weighted-average process cost system to accumulate costs incurred in handling student applications in the admissions department. When an application is completed, it is forwarded to the appropriate academic department for final processing. The following processing and cost data pertain to March. Materials are the forms used in the application process, and these costs are incurred at the beginning of the process. Conversion costs are incurred uniformly during the process. Oriole University uses the weighted-average method to compute equivalent units. (a) Your answer is correct. Determine the equivalent units of service (production) for materials and conversion costs. Compute the unit costs. (Round answers to 2 decimal places, e.g. 15.25.) Prepare a cost reconciliation schedule. In an effort to improve efficiency, Oriole University has changed their admissions procedures. Instead of adding all of the materials at the beginning of the process, they have decided to add half of the materials at the end of the process right before the applications are transferred to the academic departments. This has resulted in a $2,073 savings in March's direct materials costs (beginning direct materials are not affected). Determine the equivalent units of service (production) and the cost per equivalent unit for materials based on this change. If Oriole University processes 12,400 applications during a typical year, what is the total dollar amount of savings that will result from this change? (Round unit material cost to 2 decimal places, e.g. 15.25.) Total equivalent units Units materials cost $ Total savings $Step by Step Solution
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