Question

Department S had no work in process at the beginning of the period. It added 12,000 units of direct materials during the period at a cost of $84,000; 9,000 units were completed during the period, and 3,000 units were 30% completed as to labor and overhead at the end of the period. All materials are added at the beginning of the process. Direct labor was $49,500 and factory overhead was $9,900.

Required:

Compute the total cost of units completed during the period?

Answer 1

Answer:

$143,400

Explanation:

Total Conversion cost = Direct labor + Factory overhead

                                     = $49,500 + $9,900

                                     = $59,400

Total cost of units completed during the period:

= Direct material + Total Conversion cost

= $84,000 + $59,400

= $143,400

Therefore, the total cost of units completed during the period is $143,400.