Kirkpatrick Company Uses a Process-Cost System with the FIFO Method

question 78

Multiple Choice

Kirkpatrick Company uses a process-cost system with the FIFO method of accounting for beginning inventories. Materials are added at the beginning of the process, and conversion costs are incurred uniformly. Work-in-process at the beginning is assumed to be 40 percent complete and at the end to be 70 percent complete. Additional data follow:

-The unit cost for materials is

• A) $1.62.
• B) $1.47.
• C) $1.17.
• D) $1.30.