Department B had 1,000 units in beginning work-in-process which had transferred in costs of $2,500 from Department A associated with them.During the period,12,000 more units having costs of $36,000 were transferred in to Department B from Department A.What is the unit cost for the units transferred from Department A.
A)$2.00
B)$2.75
C)$2.96
D)$3.00

Question

Quizplus · Accepted Answer

The unit cost for the units transferred from Department A is $2.96. This is calculated by dividing the total cost of the units transferred in ($36,000) by the number of units transferred in (12,000).

Department B Had 1,000 Units in Beginning Work-In-Process Which Had