Reference no: EM132516992
At H&K Corporation, direct materials are added at the beginning of the process and conversions costs are uniformly applied. Other details include:
WIP beginning units 11,000 units
Units added 12,000 units
Units completed and transferred out 17,000 units
WIP ending units (40% for conversion) 6,000 units
Beginning WIP direct materials cost $50,000
Beginning WIP conversion cost $78,600
Costs of materials added $226,000
Costs of conversion added $290,000
At H&K Corporation,
Question a. What are the total equivalent units for direct materials?
Question b. What are the total equivalent units for conversion costs?
Question c. What is the cost per equivalent unit for direct materials?
Question d. What is the cost per equivalent unit for conversion costs?
Question e. What is the cost of each unit completed and transferred out?
Question f. What is the average cost of each unit remaining in ending WIP?
Question g. H&K corporation sets the selling price of each completed unit four times its manufacturing cost (the manufacturing cost is 25% of selling price). How much do they sell each completed unit?
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