Question 1

Springville Company produces a product that passes through two departments. In the blending department, all materials are added at the beginning of the process. All other product costs are added uniformly. The following information relates to the month of February:

Beginning WIP (Inventory) 100,000 pounds

Cost assigned to beginning WIP (Inventory)

• Material $20,000
• Labor $10,000
• Overhead $30,000

Ending WIP (Inventory) 50,000 pounds that were 60% complete in regards to DL & Overhead costs.

370,000 pounds were completed and transferred out.

Costs Added during the Period were:

• Material: $100,000
• Labor: $60,000
• Overhead: $60,000

What is the cost per equivalent unit for DM?

PLEASE ROUND ALL NUMBERS TO TWO DECIMALS.

A	$0.29
B	$0.30
C	$0.32
D	None of the above

Question 2

Springville Company produces a product that passes through two departments. In the blending department, all materials are added at the beginning of the process. All other product costs are added uniformly. The following information relates to the month of February:

Beginning WIP (Inventory) 100,000 pounds

Cost assigned to beginning WIP (Inventory)

• Material $20,000
• Labor $10,000
• Overhead $30,000

Ending WIP (Inventory) 50,000 pounds that were 60% complete in regards to DL & Overhead costs.

370,000 pounds were completed and transferred out.

Costs Added during the Period were:

• Material: $100,000
• Labor: $60,000
• Overhead: $60,000

What is the cost assigned to the goods completed and transferred out?

PLEASE ROUND ALL NUMBERS TO TWO DECIMALS.