Parmentier Company uses the weighted-average method in its process costing syste
ID: 2412060 • Letter: P
Question
Parmentier Company uses the weighted-average method in its process costing system. The Molding Department is the second department in its production process. The data above summarize the department's operations in January.
The accounting records indicate that the conversion cost that had been assigned to beginning work in process inventory was $5,096 and a total of $87,668 in conversion costs were incurred in the department during January.
What was the cost per equivalent unit for conversion costs for January in the Molding Department? (Round off to three decimal places.):
$1.654
$1.752
$1.490
$1.499
Percent Complete with Units Respect to Conversion Beginning work in process inventory …….. 3,800 90% Transferred in from the prior department during January …….. 53,000 Completed and transferred to the next department during January …….. 51,300 Ending work in process inventory …….. 5,500 30%Explanation / Answer
Equivalent units for conversion units % EUP completed & transferred 51,300 100% 51,300 ending work in process 5,500 30% 1650 Equivalent units for conversion 52,950 cost per equivalent units for conversion Beginning work in process 5,096 cost added during the year 87,668 total cost 92,764 Equilvalent units 52,950 cost per equivalent units for conversion 1.752 answer ) option b 1.752