Use the given information to answer the following questions. For January, a firm's equivalent units of production for materials and conversion costs are 20,000 and 16,000, respectively. The total cost of materials used during the month is $64,000, and conversion costs are $80,000. Materials costs and conversion costs in the beginning Work in Process Inventory totaled $12,000 and $16,000, respectively. Ending Work in Process Inventory is 4,000 units, 100% complete as to materials and 20% complete as to conversion costs. (The firm uses the average costing approach).
Question 1: The cost per equivalent unit as to materials is:
a. $1.20
b. $7.60
c. $3.80
d. $5.70
Question 2: The cost per equivalent unit as to conversion costs is:
a. $ 2.00
b. $12.00
c. $ 8.00
d. $ 6.00
Question 3: The cost of ending Work in Process Inventory as to conversion costs is:
a. $ 0
b. $ 4,800
c. $19,200
d. $24,000
Question 4: The cost of goods transferred to Finished Goods Inventory is:
a. $132,800
b. $152,000
c. $156,800
d. $167,200