Nano Company Uses a Process Cost System and the Weighted

question 60

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 3/5 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 3/4 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?

---

Definitions:

Thyroid Gland

The endocrine gland that produces thyroxine and regulates metabolism.

Pituitary Gland

A pea-sized gland located at the base of the brain that produces hormones which regulate important bodily functions, including growth, metabolism, and reproduction.

Adrenal Glands

Glands located above the kidneys that produce a variety of hormones including adrenaline and cortisol, which regulate stress responses and other vital functions.

Circadian Variables

Factors that can influence the rhythm of circadian biological clocks, including light exposure, timing of meals, and physical activity.