Nano Company Uses a Process Cost System and the Weighted-Average

question 22

Essay

Nano Company uses a process cost system and the weighted-average inventory valuation method.The Nano Assembly Department's beginning inventory consisted of 40,000 units that were three-fifths complete with respect to direct labor and overhead.The department started and finished 149,000 units with respect to direct labor and overhead.The ending inventory consists of 60,000 units that are three-fourths complete with respect to direct labor and overhead.All direct materials are added at the beginning of the process.The department Goods in Process account included direct labor costs of $292,500 and overhead costs of $140,400.
(a) What is the direct labor cost per equivalent unit?
(b) What is the overhead cost per equivalent unit?

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Definitions:

Bank Statement Balance

The total amount of money that is available in an individual's bank account at the end of a given period, according to the bank’s records.

Checkbook Balance

The current amount of money recorded in a checking account, according to the account holder's records.

Outstanding Checks

Checks that have been written and recorded in the check register but have not yet been cleared or deducted from the account balance by the bank.

Bank Fee

Charges imposed by banking institutions for various services provided, such as account maintenance, ATM use, or overdrafts.