-Refer to the figure.If the materials costs for both products are $75 per unit produced,and conversion costs are $120 per hour,what is the per-unit cost of Product B under the features and approach costing method?
A)$81.75
B)$87
C)$91
D)$195

Question

-Refer to the figure.If the materials costs for both products are $75 per unit produced,and conversion costs are $120 per hour,what is the per-unit cost of Product B under the features and approach costing method?
A)$81.75 
B)$87 
C)$91 
D)$195

Quizplus · Accepted Answer

The per-unit cost of Product B is calculated by adding the materials cost per unit ($75) to the conversion cost per unit. If the conversion cost is $120 per hour, and assuming the time required for Product B is 0.1333 hours per unit (since $16 conversion cost per unit is given), the conversion cost per unit is $16. Therefore, the total per-unit cost is $75 + $16 = $91.

-Refer to the Figure