Ask Question
7 November, 03:11

Largo Company has unit costs of $10 for materials and $30 for conversion costs. If there are 2,500 units in ending work in process, 40% complete as to conversion costs, and fully complete as to materials cost, the total cost assignable to the ending work in process inventory is $55,000. $100,000. $45,000. $75,000.

+2
Answers (1)
  1. 7 November, 06:28
    0
    Ending work in process inventory cost = $55,000

    Explanation:

    Given:

    Material unit cost = $10

    conversion cost = $30

    Ending Work in progress = 2,500

    conversion cost = 40% Completed

    Ending work in process inventory cost = ?

    Computation of ending Materials Cost:

    Materials Cost = [ (2,500 units * $10]

    Materials Cost = $25,000

    Computation of ending Conversion Cost:

    Conversion Cost = [ (2,500 units * 40%) * $30]

    Conversion Cost = [ (1,000) * $30]

    Conversion Cost = $30,000

    Ending work in process inventory cost = Materials Cost + Conversion Cost

    Ending work in process inventory cost = $25,000 + $30,000

    Ending work in process inventory cost = $55,000
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Largo Company has unit costs of $10 for materials and $30 for conversion costs. If there are 2,500 units in ending work in process, 40% ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers