Question

The debits to Work in Process—Assembly Department for April, together with data concerning production, are as follows:

April 1, work in process:
Materials cost, 3,000 units	$ 7,500
Conversion costs, 3,000 units, 80% completed	6,000
Materials added during April, 10,000 units	29,000
Conversion costs during April	35,000
Goods finished during April, 11,500 units	—
April 30 work in process, 1,500 units, 60% completed	—

All direct materials are placed in process at the beginning of the process, and the average cost method is used to cost inventories.

The materials cost per equivalent unit (rounded to the nearest cent) for April is

a.$2.60

b.$2.26

c.$2.81

d.$3.02

Answer 1

	Equivalent units for materials
						EUP
	Completed & transferred			11,500	100%	11,500
	Ending wip			1,500	100%	1,500
	Equivalent units					13,000
	Cost per unit
	Cost in Beginning work in process				7,500
	Cost added duringt the year				29,000
	Total cost				36,500
	Equivalent units				13,000
	Cost per unit				2.81	answer
	Answer)	option C
		2.81