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Richards Corporation uses the FIFO method of process costing. The following information is available for October in its Fabricating Department: Units: Beginning Inventory: 80,000 units, 60% complete as to materials and 20% complete as to conversion. Units started and completed: 250,000. Units completed and transferred out: 330,000. Ending Inventory: 30,000 units, 40% complete as to materials and 10% complete as to conversion. Costs: Costs in beginning Work in Process - Direct Materials: $37,200. Costs in beginning Work in Process - Conversion: $79,700. Costs incurred in October - Direct Materials: $646,800. Costs incurred in October - Conversion: $919,300. Calculate the cost per equivalent unit of materials.

Multiple Choice

• $2.59

• $2.33

• $1.89

• $2.20

• $2.00

Red Raider Company uses a plantwide overhead rate with machine hours as the allocation base. Next year. 400,000 units are expected to be produced requiring 1.2 machine hours each. How much overhead will be assigned to each unit produced given the following estimated amounts? Estimated : Manufacturing overhead costs Direct labor hours Machine hours Department 1 $2,530,000 168,000 DLH 30,000 MH Department 2 $2,752,000 110,000 DLH 8,000 MH Multiple Choice 0 None of the choices 0 $19.00 per unit 0 ) $166.80 per unit 0 $22.68 per unit 0 $139.00 per unit

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