Compute the conversion cost rate per hour

Reference no: EM132221750

Question - Conversion cost rate

A manufacturer estimates annual conversion costs of $1,000,000 and Plans production of 1,600 hours to make 12,800 units. The company can produce 8 units per hour.

1. Compute the conversion cost rate per hour.

2. Prepare the journal entry to apply conversion costs to an order of 520 units.

Reference no: EM132221750

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