Question
Becky works on the assembly line of a manufacturing company where she installs a component part for one of the company's products. She's paid $16 per hour for regular time, and time and a half for all work in excess of 40 hours per week. Becky's employer offers fringe benefits that cost the company $3 for each hour of employee time (both regular and overtime). During a given week, Becky works 42 hours but is idle for 3 hours due to material shortages. The company treats all fringe benefits relating to direct labor as added direct labor cost and the remainder as part of manufacturing overhead. The allocation of Becky's wages and fringe benefits for the week between direct labor cost and manufacturing overhead would be
Question
Abis Corporation uses the weighted-average method in its process-costing system. This month, the beginning inventory in the first processing department consisted of 800 units. The costs and percentage completion of these units in beginning inventory were
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Cost
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Percent Complete
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Material costs
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$6,000
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50%
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Conversion costs
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$9,900
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30%
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A total of 9,200 units were started, and 8,200 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month:
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Cost
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Material costs
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$113,900
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Conversion costs
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$322,500
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The ending inventory was 80% complete with respect to materials and 20% complete with respect to conversion costs.
The cost per equivalent unit for conversion costs for the first department for the month is closest to.