28 September, 14:08

# Department S had no work in process at the beginning of the period. It added 12,200 units of direct materials during the period at a cost of \$97,600. During the period, 9,200 units were completed, and 3,000 units were 25% completed as to labor and overhead at the end of the period. All materials are added at the beginning of the process. Direct labor was \$73,630, and factory overhead was \$17,910. The total cost of units completed during the period was

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1. 28 September, 14:34
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Cost of completed units = \$158,240

Explanation:

Cost of completed units = Cost per equivalent unit * no of units

Equivalent unit = Degree of completion * units of work

Equivalent units of material

(9200 * 100%) + (3000*100%) = 12,200 unit

Cost per equivalent unit of material = \$97,600/12,200 units = \$8

Equivalent units of labour and overhead

(9200 * 100%) + (3000 * 25%) = 750

Cost per equivalent unit of labour and overhead

= (73,630+17910) / 9950 = \$9.2

Cost of completed units

= \$ (9.2+8) * 9,200 = 158,240

Cost of completed units = \$158,240