Answer:
a. What was the cost of materials used for repair work during the month of February?
To find this figure, we add the purchased replacement parts value with the beginning inventory parts value, and substract the ending inventory parts.
Cost of materials = $97,000 + $38,500 - $15,250
= $120,250
b. What was the prime cost for February?
The prime cost is the sum of cost of materials and cost of labor.
Prime cost = $120,250 + $52,500
= $172,750
c. What was the conversion cost for February?
Conversion cost is the sum of the cost of labor and overhead.
Conversion cost = $52,500 + $121,000
= $173,500
d. What was the total repair cost for February?
The total repair cost is the sum of parts cost, labor costs, and overhead.
Total repair cost = $120,250 + $52,500 + $121,000
= $293,750
