Work in process, (July 1)ª Physical Units (Banners) 600 Direct Conversion Materials Costs $100,000 $2,000 Started in July2020 ? Good units completed and transferred out in July 50,000 Normal spoilage 4,000 Abnormal spoilage 3,500 Work in process, July31b 5,000 Total costs added during July2020 $150,000 $28,000 a Decorepletion: direct materials 100%; conversion costs, 50% b Decoepletion: direct materials, 100% onversion costs 50%

Work in process, (July 1)ª Physical Units (Banners) 600 Direct Conversion Materials Costs $100,000 $2,000 Started in July2020 ? Good units completed and transferred out in July 50,000 Normal spoilage 4,000 Abnormal spoilage 3,500 Work in process, July31b 5,000 Total costs added during July2020 $150,000 $28,000 a Decorepletion: direct materials 100%; conversion costs, 50% b Decoepletion: direct materials, 100% onversion costs 50%

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter7: Allocating Costs Of Support Departments And Joint Products

Section: Chapter Questions

Problem 6CE: Refer to Cornerstone Exercise 7.3 and solve for the allocated costs to Fabricating and Assembly...

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Assessment Consider the following data for the Assembly Department of Pink Manufacturing Company: Quantity: Work in Process - May 1 80 Started in May 202A 500 460 120 Completed during May 202A Work in Process - May 31, 202A Stage of Completion: Materials Conversion costs Cost Data Work in Process May 1 90% 40% P Materials 49,336 322,000 Work in Process May 31 60% 30% Conversion Cost P 9,104 139,200 Work in Process - May 1_ Cost added during May The Assembly department uses the average method of process costing. Required: Cost of production report for the month of May.
Continuation.. Data for Finishing Department are as follows: Cost Data: Beginning Work in Process Costs Transferred In from Prior Dept 27,225 Costs Incurred in this Department: Materials 1,500 Labor 5,500 Overhead 4,500 Current Month Cost: Costs Transferred In from Prior Dept ?????? Costs Incurred in this Department: Materials 23,500 Labor 70,000 Overhead 75,000 Production Data: Quantity: Work in Process – Beginning 10,000 Started in Process 30,000 Transferred out to Next Department From Work in Process – Beginning 10000 Started and Completed 18,500 28,500 Work in Process – Ending 10,800 Lost Units – Normal 450 Abnormal Lost Units 250 Stage of Completion: Beginning Ending Transferred In Costs 100% 100% Materials 60% 55% Labor 60% 55% Overhead 60% 55% 1. Referring to Finishing Department, what is the total cost allocated to abnormal spoilage using the weighted-average method? 2.…
ssume the following information: Milling Department Materials Conversion Total Cost of beginning work in process inventory $ 10,000 $ 15,000 $ 25,000 Costs added during the period 291,600 394,500 686,100 Total cost $ 301,600 $ 409,500 $ 711,100 Assume the equivalent units of production for materials and conversion, when using the weighted-average method, are 5,200 units and 5,000 units, respectively. If the equivalent units in ending work in process inventory for materials and conversion are 400 units and 200 units, respectively, then what is the total cost of ending work in process for the Milling Department?
Problem Compute for the equivalent units of production in each of the following cases: Case A In process, Sept. 1 Placed in process In process, Sept. 30 Case B Stage of completion Stage of completion In process, Oct 1 Case C Stage of completion Transferred to Dept Y In process, Oct. 31 Stage of completion In process, Nov. 1 Stage of completion Transferred to stockroom Placed in process In process, Nov. 30 Stage of completion Department 1 8,000 units 14 50,000 units 6,000 units 1/5 Department X 3,000 units 1/3 26,000 units 4,000 1/5 Department A ? 1/5 35,000 units 12,000 units 1/3 Department 2 5,000 units 1/10 12,000 units 1/6 Department Y 2,000 units 1/5 7,000 2/7 Department B 8,000 units 1/8 38,000 units 3,200 units 1/10
Transferred-In Cost Golding's finishing department had the following data for July: Line Item Description Transferred-In Materials Conversion Units transferred out 60,000 60,000 60,000 Units in EWIP 15,000 15,000 9,000 Equivalent units 75,000 75,000 69,000 Costs: Work in process, July 1: Transferred-in from fabricating $2,100 Materials 1,500 Conversion costs 3,000 Total $6,600 Current costs: Transferred-in from fabricating $30,900 Materials 22,500 Conversion costs 45,300 Total $98,700 Required: 1. Calculate unit costs for the following categories: transferred-in, materials, and conversion. Round your answers to the nearest cent. Line Item Description Cost Unit transferred-in cost $fill in the blank 1 Unit materials cost $fill in the blank 2 Unit conversion cost $fill in the blank 3 2. Calculate total unit…
Data Section: Work in process, beginning Units started during the month Work in process, ending Costs to account for. Beginning work in process Materials added Conversion costs incurred Total costs to be accounted for Beg. Work in process Started & Completed Ending Work in process Total Whole Units $ $ $ S Units 50,000 220,000 30,000 Total 100,000 176,000 597,600 873,600 Direct Mat. % Added During the Month Cost per equivalent unit Percent Conversion 30% 80% Direct Mat. Equiv. Units Direct Mat. Conversion% Added During the Month HINT: To find started and completed: Completed units - beginning inventory Started during the month - ending inventory Conversion Equiv. Units Conversion Beginning Inventory Cost assignment Direct Materials Conversion Total Amount reported on the balance sheet as Finished goods inventory Work in Process inventory
keAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator%3D&inprogress%3Dfalse # To еВook Show Me How Process Cost Journal Entries In October, the cost of materials transferred into the Rolling Department from the Casting Department of Kraus Steel Company is $556,500. The conversion cost for the period in the Rolling Department is $116,400 ($69,000 factory overhead applied and $47,400 direct labor). The total cost transferred to Finished Goods for the period was $530,000. The Rolling Department had a beginning inventory of $27,400. a1. Journalize the cost of transferred-in materials. If an amount box does not require an entry, leave it blank. a2. Journalize the conversion costs. If an amount box does not require an entry, leave it blank. a3. Journalize the costs transferred out to Finished Goods. If an amount box does not require an entry, leave it blank. b. Determine the balance of Work in Process-Rolling at the end of the period. Check My Work 2 more Check My Work…
Refer to Cornerstone Exercise 7.3 and solve for the allocated costs to Fabricating and Assembly using the direct method of support department cost allocation. The Fabricating Department overhead rate is based on normal activity of 82,000 machine hours. The Assembly Department overhead rate is based on normal activity of 160,000 direct labor hours. Job 316 required six machine hours in Fabricating and four direct labor hours in Assembly. Total direct materials cost 120, and total direct labor cost was 80. Required: 1. Calculate the overhead rate for Fabricating based on machine hours and the overhead rate for Assembly based on direct labor hours. (Round overhead rates to the nearest cent.) 2. Using the overhead rates calculated in Requirement 1, calculate the cost of Job 316. 3. What if Job 316 had required one machine hour in Fabricating and four direct labor hours in Assembly? Direct labor and direct materials costs remained the same. Calculate the new cost of Job 316.
Given the following information, assuming all materials are added at the beginning of the process, calculate the total cost to be assigned to ending work in process for the period. Direct Material Conversion Total Cost per equivalent unit $3.00 $2.50 Units completed and transferred out 48,000 Units in work in process, ending, 70% complete 20,000 Multiple choice question. $95,000 $359,000 $144,000 $264,000
Photos - 13.jpg + The following data are provided to you by the 2nd Department of Smart Company Quantity data: Beginning WIP Received preceding department 30,000 20% complete as to materials and 30% for conversion cost 90,000 Completed and Transferred 100,000 Ending WIP 20,000 40% complete as to materials and 10% for conversion cost Beginning Balance Cost data: TMC Cost this department Raw Materials P6,660.00 P76,500.00 Conversion Cost 5,310.00 23,250.00 Cost preceding department 21,000.00 45,000.00 Total P32,970.00 P144,750.00 Prepare the Cost of Production Report under a. FIFO b. Average Artivate Winrine >
Reconcile the number of physical units to find the missing amounts. Determine the number of units started and completed each month. Beginning Work in Process Ending Work in Process Conversion Conversion Complete Complete (percent) (percent) Month February June September December Units 2,000 4,700 3,800 48 66 27 39 Units Started 23,900 26,400 22,900 Units Completed 23 36 59 76 Units Started and Completed
Q2: Magic Company adds materials at the beginning of the process in Department A. The following information on physical units for Department A for the month of August is available: Work in process, August 1 (60% complete with respect to conversion).... Started in August. Completed Work in process, August 31 (30% complete with respect to conversion). 72,000 480,000 480,000 72,000 Required 1. Compute the equivalent units for materials costs and for conversion costs using the weighted-average method. Solution