Information from the Records of the Conundrum Company for September

question 139

Multiple Choice

Information from the records of the Conundrum Company for September 2018 was as follows: $\begin{array} { l r } \text { Sales } & \$ 307,500 \\ \text { Selling and administrative expenses } & 52,500 \\ \text { Direct materials used } & 66,000 \\ \text { Direct labor } & 75,000 \\ \text { Variable factory overhead } & 50,000 \\ \text { Factory overhead } & 51,250 \end{array}$

Inventories
$\begin{array}{lcc}&\text { Sept. 1,2018}&\text { Sept 30,2018 }\\\hline\text { Direct materials } & \$ 8,000 & \$ 10,500 \\\text { Work in process } & 18,750 & 21,000 \\\text { Finished goods } & 17,250 & 14,250\end{array}$ Conundrum Corporation produced 20,000 units.
The prime costs per unit for September were

• A)$7.05
• B)$8.8125
• C)$14.7375
• D)$20.00

---

Definitions:

Accounting Period

A specific time period for which financial information is reported, commonly a year or quarter.

Classified Balance Sheet

A financial statement that segregates assets and liabilities into current and long-term categories, enhancing analysis of the company's financial position.

Intangible Assets

Assets that cannot be physically touched but have value such as intellectual property, patents, and trademarks.

Sub-classifications

Specific categories within a broader class that help in organizing data, information, or resources more precisely.