Answer the Following Questions Using the Information Below:
Injection Molding

question 183

Multiple Choice

Answer the following questions using the information below:
Injection Molding Ltd manufactures plastic moldings for car seats.Its costing system utilises two cost categories,direct materials and conversion costs.Each product must pass through Department A and Department B.Direct materials are added at the beginning of production.Conversion costs are allocated evenly throughout production.
Data for Department A for Febuary 2018 are:

$\begin{array}{ll}\text { Work-in-process, beginning inventory, } 40 \% \text { converted } & 200 \text { units } \\\text { Units started during February } & 600 \text { units } \\\text { Work in proces, ending inventory } & 100 \text { units }\end{array}$

Costs for Department A for Febuary 2018 are:
$\begin{array}{lc}\text {Work-in-process, beginning inventory:}\\\text {Direct materials}&&\$ 100000 \\ \text { Conversion costs } & \$ 100000 \\\text { Direct materials costs added during February } & \$ 1000000 \\\text { Conversion costs added during February } & \$ 1250000\end{array}$

-How many units were completed and transferred out of Department A during February?

• A)800 units
• B)600 units
• C)700 units
• D)100 units