Materials Costs of $1200000 and Conversion Costs of $1530000 Were

question 157

Multiple Choice

Materials costs of $1200000 and conversion costs of $1530000 were charged to a processing department in the month of September. Materials are added at the beginning of the process while conversion costs are incurred uniformly throughout the process. There were no units in beginning work in process 20000 units were started into production in September and there were 5000 units in ending work in process that were 40% complete at the end of September. What was the total amount of manufacturing costs assigned to the 5000 units in the ending work in process?

• A) $682500.
• B) $750000.
• C) $480000.
• D) $300000.

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Definitions:

Productivity Losses

Refers to the decrease in output or efficiency of a process or system, often due to factors such as poor management, lack of resources, or external disruptions.

Coaction Task

An activity where individuals work simultaneously and independently in the presence of others to complete a task.

Social Loafing

The occurrence when people put in less effort towards attaining an objective while working in a team compared to working solo.

Meaningful Task

A task perceived as significant and valuable by an individual, often leading to increased motivation and engagement.