The Dodd Company Uses a Weighted Average Process Costing System

question 96

Multiple Choice

The Dodd Company uses a weighted average process costing system. The following information was reported for the Assembly process for July. Materials are added at the beginning of the process and are 100%.
$\begin{array}{|l|c|l|}\hline{\text { Units: }} & \text { Units } &{\begin{array}{c}\text { \% Complete for } \\\text { Conversions }\end{array}} \\\hline \text { Work in process, } 7 / 1 & 60,000 & 15 \% \\\hline \text { Started } & 105,000 & \\\hline \text { Work in process, } 7 / 31 & 40,000 & 20 \%\\\hline & & \\\hline \text { Costs: } & & \\\hline & \text { Materials } & \text { Conversion } \\\hline \text { Beginning work in process } & \$ 16,500 & \$ 33,250 \\\hline \text { Current costs } & \$ 643,500 & \$ 332,500\\\hline \end{array}$
-Refer to the figure.What is the cost per unit for conversion?

• A)$2.22
• B)$2.50
• C)$2.75
• D)$2.79

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Definitions:

Explosive

Characterized by a sudden and forceful release of energy, often with the generation of high temperatures and the release of gases.

Nonexplosive

Characterizing volcanic eruptions or events that release magma, gas, and ash in a relatively gentle and steady manner.

Thin Lava Flows

Layers of lava that spread out over large areas and cool to form relatively thin sheets of rock.

Lava Fountain

A volcanic phenomenon in which molten lava is forcefully ejected into the air from a vent or crack in the Earth's surface.