Information about units processed and processing costs incurred during a recent month in the Refining Department of a manufacturing company follow:
A)$2.55
B)$2.53
C)$2.50
D)$2.44

Question

Information about units processed and processing costs incurred during a recent month in the Refining Department of a manufacturing company follow: 
A)$2.55 
B)$2.53 
C)$2.50 
D)$2.44

Quizplus · Accepted Answer

To calculate the average processing cost per unit, we need to divide the total processing cost by the total number of units produced. In this case, the total processing cost was $35,000 and the total number of units processed was 13,850. 
$35,000 ÷ 13,850 = $2.53
Therefore, the average processing cost per unit is $2.53. The best choice is B.

Information About Units Processed and Processing Costs Incurred During a Recent