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6 October, 07:44

Conversion cost per unit equals $6. total materials cost equal $90000. equivalent units of production for materials are 10000. how much is the total manufacturing cost per unit?

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  1. 6 October, 10:54
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    Total manufacturing cost per unit is calculated by adding the conversion cost per unit to the manufacturing cost per unit.

    Total material cost = $90,000

    Unit produced = 10,000

    Cost per unit = 90,000/10,000 = 9

    A unit of the product cost $9

    The cost per unit will be added to the conversion cost to get the total manufacturing cost

    Total manufacturing cost = $9 + $ 6 = $15.

    The total manufacturing cost per unit is $15.
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