FUNDAMENTALS OF...(LL)-W/ACCESS>IP<
6th Edition
ISBN: 9781265724412
Author: LANEN
Publisher: MCG
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Chapter 8, Problem 64P
a.
To determine
Determine the number of units transferred out.
b.
To determine
Determine the total materials cost incurred in current period.
c.
To determine
Determine the number of equivalent units in ending inventory.
d.
To determine
Determine the number of physical units in ending inventory.
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For each of the following independent cases, determine the units or equivalent units requested (assuming weighted-average costing).
Required:
a. Beginning inventory consisted of 64,000 units with a direct materials cost of $113,600. The equivalent work represented by all
direct materials costs in the WIP Inventory account amounted to 288,000 units. Ending inventory had 32,000 units that were 60
percent complete with respect to materials. The ending inventory had an $30,720 direct materials cost assigned. What was the total
materials cost incurred this period?
b. Beginning inventory had 36,900 units, 90 percent complete with respect to conversion costs. During the period, 31,500 units were
started. Ending inventory was 45 percent complete with respect to conversion costs and was assigned $13,230 in conversion costs.
The conversion cost per equivalent unit was $1.47. How many units were transferred out?
c. During the period, 105,000 units were transferred into the department. The 160,000…
Using the following terms, prepare the worksheet to show the calculation to answer the question:
Units completed and transferred
Cost per material
Cost per conversion
out
Equivalent units conversion
Beginning inventory
Units started in production
Total units to account for
Total work in process
Ending inventory
Units transferred in
Total units accounted for
Costs to account for
Question:
Using the weighted-average method, compute the equivalent units of production if the beginning inventory consisted of 20,000 units; 55,000 units were started
in production; and 57,000 units were completed and transferred to finished goods inventory. For this process, materials are added at the beginning of the
process, and the units are 35% complete with respect to conversion.
PLEASE NOTE: For units, use commas as needed (i.e. 1,234).
Units to Account For:
Units
Conversion Units
Units Accounted For:
Total Units
Material Units
Assume an ending work in process of inventory of 100 units, 80% complete regarding materials and 30% complete regarding conversion. For purposes of calculating costs per equivalent unit for materials and conversion:
a) the numerator would include 80 units for materials and 30 units for conversion
b) the denominator would include 100 units for materials and 100 units for conversion
c) the denominator would include 20 units for materials and 70 units for conversion
d) the denominator would include 80 units for materials and 30 units for conversion
Chapter 8 Solutions
FUNDAMENTALS OF...(LL)-W/ACCESS>IP<
Ch. 8 - What are the characteristics of industries most...Ch. 8 - A manufacturing company has records of its...Ch. 8 - If costs increase from one period to another, will...Ch. 8 - What are the five steps to follow when computing...Ch. 8 - What is the distinction between equivalent units...Ch. 8 - Which method, weighted-average or FIFO, better...Ch. 8 - It has been said that a prior departments costs...Ch. 8 - The more important individual unit costs are for...Ch. 8 - Assume that the number of units transferred out of...Ch. 8 - The management of a liquid cleaning product...
Ch. 8 - We have discussed two methods for process costing,...Ch. 8 - A friend owns and operates a consulting firm that...Ch. 8 - The controller of a local firm that uses a...Ch. 8 - Throughout the chapter, we treated conversion...Ch. 8 - Consider a manufacturing firm with multiple...Ch. 8 - Prob. 16CADQCh. 8 - Would process costing work well for a service...Ch. 8 - Compute Equivalent Units: Weighted-Average Method...Ch. 8 - Compute Equivalent Units: FIFO Method Refer to the...Ch. 8 - Compute Equivalent Units: Weighted-Average Method...Ch. 8 - Compute Equivalent Units: FIFO Method Refer to the...Ch. 8 - Compute Equivalent Units Magic Company adds...Ch. 8 - Equivalent Units: Weighted-Average Process Costing...Ch. 8 - Prob. 24ECh. 8 - Prob. 25ECh. 8 - Compute Equivalent Units: Ethical Issues Aaron...Ch. 8 - Equivalent Units and Cost of Production By...Ch. 8 - Compute Costs per Equivalent Unit:...Ch. 8 - Compute the cost per equivalent unit for materials...Ch. 8 - Compute Equivalent Units: FIFO Method Materials...Ch. 8 - Compute Equivalent Units and Cost per Equivalent...Ch. 8 - Cost Per Equivalent Unit: Weighted-Average Method...Ch. 8 - Compute Costs per Equivalent Unit:...Ch. 8 - Refer to the data in Exercise 8–33. Compute the...Ch. 8 - Using the data in Exercise 8-33, compute the cost...Ch. 8 - Refer to the data in Exercises 8-33 and 8-35....Ch. 8 - Compute Costs per Equivalent Unit:...Ch. 8 - Refer to the data in Exercise 8-37. Compute the...Ch. 8 - Refer to the data in Exercise 8-37. Compute the...Ch. 8 - Prob. 40ECh. 8 - Prepare a Production Cost Report: FIFO Method...Ch. 8 - Prob. 42ECh. 8 - Prepare a Production Cost Report: Weighted-Average...Ch. 8 - Prob. 44ECh. 8 - Cost of Production: Weighted-Average and FIFO...Ch. 8 - Operation Costing: Ethical Issues Brokia...Ch. 8 - Prob. 47ECh. 8 - Prob. 48ECh. 8 - Prob. 49ECh. 8 - Suppose the marketing manager’s suggestion is...Ch. 8 - Prob. 51PCh. 8 - Prob. 52PCh. 8 - Prob. 53PCh. 8 - Prob. 54PCh. 8 - Prepare a production cost report for June for the...Ch. 8 - Prob. 56PCh. 8 - Prob. 57PCh. 8 - Prob. 58PCh. 8 - Prob. 59PCh. 8 - Prob. 60PCh. 8 - Prob. 61PCh. 8 - Prob. 62PCh. 8 - Prob. 63PCh. 8 - Prob. 64PCh. 8 - Prob. 65PCh. 8 - Prob. 66PCh. 8 - Prob. 67PCh. 8 - Process Costing and Ethics: Increasing Production...
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- Given the following information, determine the equivalent units of ending work in process for materials and conversion under the weighted-average method: beginning inventory of 2,500 units is 100% complete with regard to materials and 60% complete with regard to conversion 18,000 units were started during the period 17,500 units were completed and transferred ending inventory is 100% complete with materials and 65% complete with conversionarrow_forwardUsing the weighted-average method, compute the equivalent units of production if the beginning inventory consisted of 20,000 units; 55,000 units were started in production; and 57,000 units were completed and transferred to finished goods inventory. For this process, materials are added at the beginning of the process, and the units are 35% complete with respect to conversion.arrow_forwardThe following data show the units in beginning work in process inventory, the number of units started, the number of units transferred, and the percent completion of the ending work in process for conversion. Given that materials are added 50% at the beginning of the process and 50% at the end of the process, what are the equivalent units for material and conversion costs for each quarter using the weighted-average method? Assume that the quarters are independent.arrow_forward
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