Simon Productions Company Had a Beginning Work in Process Inventory

Simon Productions Company had a beginning work in process inventory totaling $6,000. During the current period, the company added materials costs of $12,300, labor cost of $14,500 and overhead of $18,200. Equivalent production was 12,000 units, and 9,000 units were completed and transferred to the finished goods inventory. Inventory costs would be determined using a unit cost of

A) $5.67.
B) $3.75.
C) $4.25.
D) $8.50. (6,000 +12,300 + 14,500 + 18,200) /12,000 = 4.25.

Correct Answer:

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free