Osborne 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 materials for the month in the first processing department is closest to:
A)$16.87
B)$15.65
C)$15.09
D)$18.00

Question

Osborne 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 materials for the month in the first processing department is closest to:
A)$16.87 
B)$15.65 
C)$15.09 
D)$18.00

Quizplus · Accepted Answer

FIFO method
Units started and completed during the period = Units completed during the period - Units in beginning work in process inventory = 6,800 - 200 = 6,600
 11eaa48f_7bd8_8fb2_9e4a_4f864d25f17a_TB2485_00 
 11eaa48f_7bd8_b6c3_9e4a_b9d267e0a4c0_TB2485_00

Osborne Corporation Uses the FIFO Method in Its Process Costing