xample Ltd is a manufacturer. It produced 2,000 units in April. The following cost information is available: Advertising costs: $6,000 per month Depreciation on factory equipment: $3,000 per month Factory supervisor salary: $20,000 per month Metal used in the product: $10 per unit Research and development: $8,000 per month Wages of manufacturing equipment operators: $8 per unit Assume any materials used in production is direct material. What is the total conversion costs for Example Ltd in April? 39,000 36,000 20,000 14,000
xample Ltd is a manufacturer. It produced 2,000 units in April. The following cost information is available: Advertising costs: $6,000 per month Depreciation on factory equipment: $3,000 per month Factory supervisor salary: $20,000 per month Metal used in the product: $10 per unit Research and development: $8,000 per month Wages of manufacturing equipment operators: $8 per unit Assume any materials used in production is direct material. What is the total conversion costs for Example Ltd in April? 39,000 36,000 20,000 14,000
Chapter2: Building Blocks Of Managerial Accounting
Section: Chapter Questions
Problem 4EB: Roper Furniture manufactures office furniture and tracks cost data across their process. The...
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Example Ltd is a manufacturer. It produced 2,000 units in April. The following cost information is available:
- Advertising costs: $6,000 per month
Depreciation on factory equipment: $3,000 per month- Factory supervisor salary: $20,000 per month
- Metal used in the product: $10 per unit
- Research and development: $8,000 per month
- Wages of manufacturing equipment operators: $8 per unit
Assume any materials used in production is direct material.
What is the total conversion costs for Example Ltd in April?
- 39,000
- 36,000
- 20,000
- 14,000
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