Fashion Inc. manufactures women's dresses using cotton and polyester. Since the same style dresses are made out of both fabrics, Fashions uses operation costing. During June, 1,000 cotton dresses were completely produced. Also during June, 1,500 polyester dresses were started by adding all materials at the beginning of the process. Of these 1,500 dresses, 700 were completely finished and the remainder were 25 percent complete by the end of the month. There was no work-in-process inventory at the beginning of June. Costs incurred during June were as follows.
The cost per unit to manufacture one polyester dress during June was:
Thank you Samer for kind help,
Institute of Management Accountants
10 Paragon Drive, Suite 1
Montvale, New Jersey 07645-1760 USA
(800) 638-4427 or +1 (201) 573-9000
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