Exam 5: Cost Behavior: Analysis and Use

Able Inc.uses the weighted-average method in its process costing system.The following data concern the operations of the company's first processing department for a recent month.

In the accounting for costs in a process costing system,which statement below is most correct as to when costs are added in processing departments?

David Company uses the weighted-average method in its process costing system.The first processing department,the Welding Department,started the month with 20,000 units that were 80% complete with respect to conversion costs.The conversion cost in this beginning work in process inventory was $123,200.An additional 65,000 units were started into production during the month.There were 19,000 units in the ending work in process inventory of the Welding Department that were 10% complete with respect to conversion costs.A total of $389,250 in conversion costs were incurred in the department during the month. What would be the cost per equivalent unit for conversion costs for the month? (Round your answers to three decimal places)