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VARVARA [1.3K]
3 years ago
13

PB10.

Business
1 answer:
Marta_Voda [28]3 years ago
5 0

Answer:

The cost of the units transferred out and remaining in ending inventory is $ 107,250 and $ 4,000 respectively.

Explanation:

<u>Calculation of total cost of units transferred out</u>

Units transferred out = 750+ 9500- 500 = 9,750 units

Total cost per unit = material cost per unit + conversion cost

                               = 7 + 4

                               = $11

Units transferred out = 11 * 9750 = $ 107,250

<u>Calculation of total cost of closing units</u>

Total Material cost = 7 * (500) = 2,500

Total Coversion Cost = 4 * (500*75%) = 1,500

Total cost = $ 4,000

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