In a department, 28,000 units are completed and transferred out and 14,400 remain in ending WIP at 85% complete. If an equivalent unit costs $8.00 for direct materials, what is the value of materials transferred out?
A)$97,920
B)$108,800
C)$115,200
D)$224,000

Question

Quizplus · Accepted Answer

The value of materials transferred out is calculated by multiplying the number of units completed and transferred out by the cost per equivalent unit: 28,000 units * $8.00 = $224,000.

In a Department, 28,000 Units Are Completed and Transferred Out