The cost per equivalent unit for direct materials will always be equal to the cost per equivalent unit for conversion costs.

Question

Quizplus · Accepted Answer

The cost per equivalent unit for direct materials and conversion costs can be different as they involve different cost elements. Direct materials include the cost of raw materials, while conversion costs include the cost of converting these materials into finished products, including labor and overhead costs. Therefore, the cost per equivalent unit for direct materials and conversion costs can vary.

The Cost Per Equivalent Unit for Direct Materials Will Always