Use the Following Information to Calculate the Cost Per Equivalent

question 58

Essay

Use the following information to calculate the cost per equivalent unit for direct materials,direct labor,overhead,and in total for the Assembly Department of Dessert Company for the month of June.
$\begin{array}{lccc}& \text { Direct } & \text { Direct } & \\& \text { Materials } & \text { Labor } & \text { Overhead } \\\text { Total costs to be accounted for } & \$ 600,000 & \$ 1,200,000 & \$ 1,800,000 \\\text { Total equivalent units accounted for } & 30,000 \text { units } & 24,000 \text { units } & 24,000 \text { units }\end{array}$

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Definitions:

Balance Sheet Expenditures

Expenses that are reflected in the balance sheet, usually through an adjustment of assets or liabilities.

Commercial Substance

A concept that an economic transaction has a significant impact on the future cash flows of a company, justifying its recognition.

Plant Assets

Long-term tangible assets, such as buildings, machinery, and equipment, used in the operation of a business and not intended for resale.

Exchanges

Transactions where goods, services, or assets are traded between two parties without the primary use of money, also can refer to platforms that facilitate these trades.