Answer the Following Questions Using the Information Below

question 48

Multiple Choice

Answer the following questions using the information below:
The Townsend Tractor Company manufactures small garden tractors on a highly automated assembly line.Its' costing system uses two cost categories, direct materials and conversion costs.Each tractor must pass through the Assembly Department and the Testing Department.Direct materials are added at the beginning of the production process.Conversion costs are allocated evenly throughout production.Townsend Tractor uses weighted-average costing.
-What is the Townsend Company conversion cost per equivalent unit in April?

• A)$1,250.00
• B)$900.00
• C)$575.00
• D)$581.25
• E)$1,241.94

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