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16. Physical units accounted for are 160,000. Total conversion costs are $387,100. There are 4,000 units in ending inventory which are 50% complete as to conversion costs. How much is the conversion cost per unit

Respuesta :

Answer: $2.39

Explanation:

Physical units accounted for = 160,000

Conversion cost = $387100

Number of units will be:

= 160,000 + 50%(4000)

= 160000 + 0.5(4000)

= 160000 + 2000

= 162000

Conversion cost per unit will be:

= 387100 / 162000

= $2.39

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