Question:
Lumdal Company uses the weighted-average method in its process costing system. Operating data for the first processing department for the month of June appear below:
|
|
|
Percentage
|
|
|
Units
|
complete
|
|
Beginning work in process inventory
|
10,000
|
90%
|
|
Started into production during June
|
75,000
|
|
|
Ending work in process inventory
|
17,000
|
40%
|
According to the company"s records, the conversion cost in beginning work in process inventory was $77,490 at the beginning of June. Additional conversion costs of $552,062 were incurred in the department during the month. What was the cost per equivalent unit for conversion costs for the month? (Round off to three decimal places.)
A) $8.610
B) $7.361
C) $6.001
D) $8.416