This item is based on the following information pertaining to Arp Co.'s manufacturing operations:

Inventories	3/1/89	3/31/89
Direct Materials	$36,000	$30,000
Work-in-process	18,000	12,000
Finished Goods	54,000	72,000

Additional information for the month of March 1989:

Direct materials purchased	$84,000
Direct labor payroll	60,000
Direct labor rate per hour	7.50
Factory overhead rate per direct labor hour	10.00

For the month of March 1989, conversion cost was

Question 2 options:

A)

$140,000

B)

$144,000

C)

$ 90,000

D)

$170,000