Forest Company, Which Uses a Weighted-Average Process-Costing System, Had 7,000

Forest Company, which uses a weighted-average process-costing system, had 7,000 units in production at the end of the current period that were 60% complete. Material A is introduced at the beginning of the process; material B is introduced at the end of the process; and conversion cost is introduced evenly throughout manufacturing. Equivalent-unit production costs follow.
Material A: $12.50
Material B: $2.00
Conversion cost: $6.60
The cost of the company's ending work-in-process inventory is:

A) $88,620.
B) $115,220.
C) $123,620.
D) $147,700.
E) None of the answers is correct.

Correct Answer:

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