Simeranio Company Manufactures Generic Notebooks $\begin{array} { l } \text {Direct materials added in June }&\$285,000\\ \text {Conversion costs added in June }&\$210,000\\\end{array}$

question 136

Multiple Choice

Simeranio Company manufactures generic notebooks.Material is introduced at the beginning of the process in the Printing Department.Conversion costs are applied uniformly throughout the process.The weighted-average method of process costing is used.Data for the Printing Department for the month of June follow:
Work-In-Process Inventory,June 1:
$\begin{array} { l } \text {Units }&15,000\\ \text { Direct materials ( \( 100 \% \) complete) }&\$35,000\\ \text {Conversion costs ( \( 30 \% \) complete) }&\$14,000\\\end{array}$

$\begin{array} { l } \text {Units started in June }&65,000\\ \text { Units completed in June}&62,000\\ \text {Work-In-Process Inventory, June 30 }&18,000\\\end{array}$

$\begin{array} { l } \text {Direct materials added in June }&\$285,000\\ \text {Conversion costs added in June }&\$210,000\\\end{array}$

With regard to the Work-In-Process Inventory on June 30,materials are 100 percent complete and conversion costs are 50 percent complete.The unit cost for conversion costs is ________.

• A) $2.62
• B) $2.80
• C) $2.88
• D) $3.15

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