In June, XYZ Engineering Received an Order to Produce a Batch

Multiple Choice

In June, XYZ Engineering received an order to produce a batch of 100 Maxilons. Each batch requires 50 purchased components and 75 labour hours. XYZ was unable to complete the order until July. The following transactions took place during the month of June: $\begin{array}{|l|r|l|}\hline & \text { Units } &{\text { Unit cost }} \\\hline \text { Purchase of components } & 75 & £30 \\\hline \text { Issue of components to job }& 30 & \\\hline \text { Labour to produce finished goods } & \text { Hours } & \text { Cost/hour } \\\hline & 40 & £45\\\hline\end{array}$ The following transactions took place during the month of July: $\begin{array}{|l|r|r|}\hline \text { Issue of components to job } & \text { Units } & \text { Unit cost } \\\hline & 20 & \\\hline & \text { Hours } & \text { Cost/hour } \\\hline \text { Labour to produce finishedgoods }& 35 & £45\\\hline \text { Completed } 100 \text { Maxilons } \\\hline\end{array}$
-The value of work in progress at the end of June is:

A) £5,625
B) £4,875
C) £2,700
D) £2,175