1. BEST Manufacturing Company uses Raw and In Process (RIP) inventory account, and charges all conversion costs to cost of sales. At the end of the month, all inventories are counted, their conversion costs component are estimated, and inventory account balances are adjusted. Raw materials cost is backflush from RIP to Finished Goods and to cost of sales. The following information is available for the current month: RIP, beginning including P14,000 conversion costs. RIP, end including conversion costs of P12,000 FG, beginning including P8,500 of conversion costs FG, end including conversion P10,000 of conversion costs Raw Material purchases for the period Conversion costs for the period P35,000 48,000 52,000 60,000 750,000 900,000

1. BEST Manufacturing Company uses Raw and In Process (RIP) inventory account, and charges all conversion costs to cost of sales. At the end of the month, all inventories are counted, their conversion costs component are estimated, and inventory account balances are adjusted. Raw materials cost is backflush from RIP to Finished Goods and to cost of sales. The following information is available for the current month: RIP, beginning including P14,000 conversion costs. RIP, end including conversion costs of P12,000 FG, beginning including P8,500 of conversion costs FG, end including conversion P10,000 of conversion costs Raw Material purchases for the period Conversion costs for the period P35,000 48,000 52,000 60,000 750,000 900,000

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 14PA: Loanstar had 100 units in beginning inventory before starting 950 units and completing 800 units....

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A company started a new product, and in the first month started 100,000 units. The ending work in process inventory was 20,000 units that were 100% complete with materials and 75% complete with conversion costs. There were 100,000 units to account for, and the equivalent units for materials was $6 per unit while the equivalent units for conversion was $8 per unit. What is the value of the inventory transferred out, using the weighted-average inventory method?
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