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The following amounts were selected from the production report of Chandon Corporation: Actual units in production 42,000 Equivalent units (materials) 42,000 Equivalent units (conversion) 39,000 Cost per equivalent unit (materials) $1.10 Cost per equivalent unit (conversion) $0.90 Chandon uses the weighted average method in preparing its production reports. Chandon's total production cost to be accounted for must have been a.$72,900. b.$89,100. c.$81,300. d.$84,000.

Respuesta :

Answer:

Total cost is equal to $81300

So option (c) will be correct answer.

Explanation:

Actual unit of production = 42000

Cost of per equivalent material = $1.10

Equivalent cost of material = [tex]=42000\times1.1=46200[/tex]$

Equivalent cost of labor = [tex]=39000\times 0.9=35100[/tex]$

Therefore total cost of production = $46200+$35100 = $81300

So total cost will be $81300

Therefore option (c) is the correct answer

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