Reference no: EM132603716

Evans Company uses the weighted-average method in its process costing system. During October, the Mixing Department transferred out 40,000 units. The October 31 work-in-process inventory in the Mixing Department consisted of 4,000 equivalent units of material and 5,000 equivalent units of labour and overhead. The cost per equivalent unit was $3.50 for materials and $6.25 for labour and overhead.

Question 1: What was the total cost of the October 31 work-in-process inventory?

Option 1: $45,250.

Option 2: $41,250.

Option 3: $43,750.

Option 4: $78,750.