Question: Question 2. (10 Marks) Equivalent units zero beginning inventory Book Problem 17-16 Al Zarooni Establishment UAE is a manufacturer of personal computers. The company has

 Question 2. (10 Marks) Equivalent units zero beginning inventory Book Problem

Question 2. (10 Marks) Equivalent units zero beginning inventory Book Problem 17-16 Al Zarooni Establishment UAE is a manufacturer of personal computers. The company has two departments assembly and testing. In 2017 the company incurred $800,000 in direct materials and $ 805,000 in conversion costs (direct materials and direct labor) for a total manufacturing cost of $1,805,000. Required: Assume that the work in process, beginning =+ on January 1, 2017. .Assume that during February 5,000 units were placed into production. Further assume the same assembly costs for January and February. In addition 4,000 units were fully completed at the end of February. Work in process of the remaining 1,000 units were 100% completed as to direct materials and only 60% completed as to conversion costs. a) What are the equivalent units as to direct materials and conversion costs and the cost per equivalent unit in February? b) What is the unit cost of the assembled camera in February 2017

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!