FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Transcribed Image Text:The charges to Work in Process-Assembly Department for a period, together with information concerning production, are as follows. All direct materials are placed in
process at the beginning of production.
Work in Process-Assembly Department
Bal., 30,000 unith 40% completed
Direct materials, 400,000 units @ $11.25
Direct labor
Factory overhead
Bal., 2 units, 30% completed
Cost per equivalent units of $11.25 for Direct Materials and $60.00 for Conversion Costs.
1,075,500 To Finished Goods, 406,000 units
4,500,000
4,012,000
20,060,000
a. Based on the above data, determine the different costs listed below.
1. Cost of beginning work in process inventory completed this period
2. Cost of units transferred to finished goods during the period
3. Cost of ending work in process inventory
4. Cost per unit of the completed beginning work in process inventory (Rounded to the
nearest cent.)
b. Did the production costs change from the preceding period?
0000
c. Assuming that the direct materials cost per unit did not change from the preceding period, did the conversion costs per equivalent unit increase, decrease, or remain
the same for the current period?
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