AC202Exam3SB[1]

# For the current year a calculate the equivalent units

• Notes
• 7

This preview shows page 6 - 7 out of 7 pages.

for the current year: (a) Calculate the equivalent units of production for direct labor for the year. (b) Calculate the average cost per equivalent unit for direct labor (round to the nearest cent). Units % Performed EUP Beginning goods in process inventory 5,500 20% 1,100 (Jan 1) Ending goods in process Inventory 8,800 40% 3,520 (Dec 31) Units started and completed 46,900 100% 46,900 (a)Total 51,520 (b)Average Cost per equivalent unit for direct labor = 51,520/266,300= .19 Minus 2 points

Subscribe to view the full document.

Problem # 3 ( 25 Points ) A retail store has three departments, A, B, and C, each of which has four full-time employees. The store does general advertising that benefits all departments. Advertising expense totaled \$90,000 for the current year, and departmental sales were: How much advertising expense should be allocated to each department? 356,250+641,250+427,500= 1,425,000 Department A = 25% of advertising expense Department B = 45% of advertising expense Department C = 30% of advertising expense 22,500 advertising expense should be allocated to Department A 40,500 advertising expense should be allocated to Department B 27,000 advertising expense should be allocated to Department C
You've reached the end of this preview.

{[ snackBarMessage ]}

### What students are saying

• As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

Kiran Temple University Fox School of Business ‘17, Course Hero Intern

• I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

Dana University of Pennsylvania ‘17, Course Hero Intern

• The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

Jill Tulane University ‘16, Course Hero Intern