Universal Manufacturing Uses a Weighted-Average Process-Costing System

question 59

Multiple Choice

Universal Manufacturing uses a weighted-average process-costing system. All materials are introduced at the start of manufacturing, and conversion costs are incurred evenly throughout the process. The company's beginning and ending work-in-process inventories totaled 10,000 units and 15,000 units, respectively, with the latter units being 2/3 complete at the end of the period. Universal started 30,000 units into production and completed 25,000 units. Manufacturing costs follow.
Beginning work in process: Materials, $60,000; conversion cost, $150,000
Current costs: Materials, $180,000; conversion cost, $480,000
Universal's equivalent-unit cost for conversion cost is:

• A) $13.71.
• B) $18.00.
• C) $21.00.
• D) $25.20.
• E) None of the answers is correct.

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Definitions:

Discriminations

Unjust or prejudicial treatment of different categories of people, especially on the grounds of race, age, or sex.

Sexism

Prejudice and discrimination based on gender.

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A process in which the mind quickly sorts information into categories to function efficiently.

Psychoanalytic Tool

Techniques derived from psychoanalysis used to explore and understand the unconscious mind, motivations, and psychological conflicts.