Operation costing. The Carter Furniture Company needs to determine the cost of two work orders for December 2017. Work Order 1200A is for 250 painted, unassembled chests and Work Order 1250A is for 400 stained, assembled chests. The following information pertains to these two work orders:
Selected budget information for December follows:
Budgeted conversion costs for each operation for December follow:
1. Using budgeted number of chests as the denominator, calculate the budgeted conversion-cost rates for each operation.
2. Using the information in requirement 1, calculate the budgeted cost of goods manufactured for the two December work orders.
3. Calculate the cost per unassembled chest and assembled chest for Work Order 1200A and Work Order 1250A, respectively
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