A department transferred 7,000 units to the finished goods storeroom during a month. There was no beginning work in process inventory, but 500 units were still in process at the end of the month. Equivalent production for the month was 7,400 units, and production costs incurred totaled $16,800. Inventory costs would be determined using a unit cost of:

Question

A department transferred 7,000 units to the finished goods storeroom during a month. There was no beginning work in process inventory, but 500 units were still in process at the end of the month. Equivalent production for the month was 7,400 units, and production costs incurred totaled $16,800. Inventory costs would be determined using a unit cost of: 
 A. $2.27.  
 
 B. $2.40.  
 
 C. $2.24.  
 
 D. $2.58.

Ms. Sue · Answer

I don't know. However, 16,800 / 7400 equals one of your answer choices.

dakota · Answer

I would go with D, but im not for sure...

Ms. Sue · Answer

How did you get D?

dakota · Answer

kinda just a guess /: im sorta confused what the questions asking

Ms. Sue · Answer

The question wants to know what the unit cost is. The only way to find the answer is to manipulate the numbers given til you get one of the answer choices. If all else fails, check your book.