Realm Company Uses Process Costing and Had an Equivalent Cost

question 123

Multiple Choice

Realm Company uses process costing and had an equivalent cost of $2.30 per unit for direct materials and $1.80 per unit for conversion costs during May in its Rolling Department. There were 11,600 units completed and transferred to finished goods, and 1,000 units in ending Work in Process inventory for the Rolling Department that were 80% complete with respect to direct material and 60% complete with respect to conversion costs. How much is ending Work in Process in the Rolling Department?

• A) $47,560
• B) $50,480
• C) $2,920
• D) $3,220

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Definitions:

Malaria

A mosquito-borne infectious disease affecting humans and animals caused by Plasmodium parasites, characterized by fever, vomiting, and fatigue.

Internal Components

Essential parts or elements located within a system or device that contribute to its functionality or operation.

Cell

The basic structural, functional, and biological unit of all known living organisms, a building block of life.

Cell Nucleus

The membrane-bound organelle in eukaryotic cells that contains the genetic material, controlling the cell's growth, metabolism, and reproduction.