Strap Company Uses the Weighted-Average Method in Its Process Costing

Multiple Choice

Strap Company uses the weighted-average method in its process costing system. The company has only one processing department. The ending work in process inventory consists of 10,000 units, 60% complete with respect to materials. The total dollar value of this inventory is $38,000. The costs per equivalent unit are $5.00 for materials and $4.00 for conversion costs for the period. With respect to conversion costs, the ending work in process inventory is:

A) 10% complete
B) 20% complete
C) 38% complete
D) 30% complete