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23 May, 01:37

The following costs were incurred in September:

Direct materials $44,200

Direct labor $31,800

Manufacturing overhead $25,200

Selling expenses $22,100

Administrative expenses $37,100

Conversion costs during the month totaled:

a. $160,400

b. $76,000

c. $69,400

d. $57,000

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Answers (1)
  1. 23 May, 03:54
    0
    Option (d) is correct.

    Explanation:

    Given that,

    Direct materials = $44,200

    Direct labor = $31,800

    Manufacturing overhead = $25,200

    Selling expenses = $22,100

    Administrative expenses = $37,100

    Conversion cost:

    = Direct labor + Manufacturing overhead

    = $31,800 + $25,200

    = $57,000

    Therefore, the conversion costs during the month totaled $57,000.
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