Question

Sparky Corporation uses the weighted-average method of process costing. The following information is available for February in its Molding Department:

Units:
Beginning Inventory: 39,000 units, 100% complete as to materials and 60% complete as to conversion.
Units started and completed: 138,000.
Units completed and transferred out: 177,000.
Ending Inventory: 37,000 units, 100% complete as to materials and 30% complete as to conversion.

Costs:
Costs in beginning Work in Process - Direct Materials: $57,000.
Costs in beginning Work in Process - Conversion: $62,850.
Costs incurred in February - Direct Materials: $380,100.
Costs incurred in February - Conversion: $613,150.

Calculate the cost per equivalent unit of materials.

Multiple Choice

• $2.04

• $2.01

• $1.76

• $2.35

• $2.66

Answer 1