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- October 10, 2022 at 7:55 am #668215
Thank you John.
As mentioned above there was another question I asked.
D Co produces a certain food item in a manufacturing process. On 1 November, there was no opening inventory of work in process. During November, 500 units of material were input to the process, with a cost of $9000. Direct labour costs in November were $3840. Production overhead is absorbed at the rate of 200% of direct labour costs. Closing inventory on 30 November consisted of 100 units which were 100% complete as to materials and 80% complete as to labour and overhead. There was no loss in process.
What is the full production cost of completed units during November?
The answer is 16800.
Please can you explain how this was answered?
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