Rariton Corporation Uses the Weighted-Average Method in Its Process Costing

question 3

Multiple Choice

Rariton Corporation uses the weighted-average method in its process costing system. The Molding Department is the second department in its production process. The data below summarize the department's operations in January. The Molding Department's cost per equivalent unit for conversion cost for January was $5.37. How much conversion cost was assigned to the ending work in process inventory in the Molding Department for January?

• A)$4,081.20
• B)$10,203.00
• C)$10,310.40
• D)$6,121.80

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Definitions:

Karl Marx

A 19th-century philosopher, economist, and political theorist known for his critique of capitalism and the development of Marxist theory.

Milton Friedman

An influential American economist and Nobel laureate known for his strong belief in free-market capitalism and minimal government intervention.

Thorstein Veblen

An American economist and sociologist known for his theory of the leisure class and conspicuous consumption.

Consumer Dollar

Refers to the purchasing power of a consumer's money, indicating how much goods or services one dollar can buy.