Nilgiri Corporation uses the FIFO method in its process costing system. Data concerning the first processing department for the most recent month are listed below: Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least three decimal places.
-The cost per equivalent unit for conversion costs for the first department for the month is closest to:
A)$40.57
B)$45.33
C)$39.31
D)$37.44

Question

Nilgiri Corporation uses the FIFO method in its process costing system. Data concerning the first processing department for the most recent month are listed below:  Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least three decimal places.
-The cost per equivalent unit for conversion costs for the first department for the month is closest to:
A)$40.57 
B)$45.33 
C)$39.31 
D)$37.44

Quizplus · Accepted Answer

FIFO method
Units started and completed during the period = Units completed during the period - Units in beginning work in process inventory = 6,100 - 900 = 5,200
 11eaa48f_7bd8_418f_9e4a_e92a76d38574_TB2485_00 
 11eaa48f_7bd8_4190_9e4a_adb1ca5d1ef0_TB2485_00

Nilgiri Corporation Uses the FIFO Method in Its Process Costing