15. Assume Towery Company uses a process costing system based on the weighted average method. Towery's accountant produces the following equivalent unit calculations for the month of July for the first department: Where do the units come from? Beginning Inventory Started Total 700 5,000 5,700 Where do the units.go? Complete/ Transferred Ending Inventory Total % Work Done? 4,800 100% 900 100% 5,700 Equivalent Units Direct % Work Materials Done? 4,800 900 5,700 100% 70% Conversion Costs 4,800 630 5,430 Also assume that the beginning inventory had accumulated $2,850 of materials and $7,930 of conversion costs in the previous month. During the month of July, current costs included $34,998 of materials and $97,412 of conversion costs. Calculate the average cost per equivalent unit for materials costs for the month of July. a. $0.15 b. $0.50 c. $6.14 $6.64

15. Assume Towery Company uses a process costing system based on the weighted average method. Towery's accountant produces the following equivalent unit calculations for the month of July for the first department: Where do the units come from? Beginning Inventory Started Total 700 5,000 5,700 Where do the units.go? Complete/ Transferred Ending Inventory Total % Work Done? 4,800 100% 900 100% 5,700 Equivalent Units Direct % Work Materials Done? 4,800 900 5,700 100% 70% Conversion Costs 4,800 630 5,430 Also assume that the beginning inventory had accumulated $2,850 of materials and $7,930 of conversion costs in the previous month. During the month of July, current costs included $34,998 of materials and $97,412 of conversion costs. Calculate the average cost per equivalent unit for materials costs for the month of July. a. $0.15 b. $0.50 c. $6.14 $6.64

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Pureform, Incorporated, uses the weighted-average method of process costing. It manufactures a product passing through two departments. Data for a recent month for the first department follow: Work in process inventory, beginning Units started in process Units transferred out Work in process inventory, ending Cost added during the month Units 66,000 629,000 650,000 45,000 1. Equivalent units of production 2. Cost per equivalent unit Materials $ 54,800 Materials $ 725,300 $ 276,175 The beginning work in process inventory was 70% complete for materials and 55% complete for labor and overhead. The ending work in process inventory was 50% complete for materials and 30% complete for labor and overhead. Required: 1. Compute the first department's equivalent units of production for materials, labor, and overhead for the month. 2. Determine the first department's cost per equivalent unit for materials, labor, and overhead for the month. Note: Round your answers to 2 decimal places. Labor $…
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Pureform, Incorporated, uses the weighted-average method in its process costing system. It manufactures a product that passes through two departments. Data for a recent month for the first department follow: Work in process inventory, beginning Units started in process Units transferred out Work in process inventory, ending Cost added during the month Units 57,000 539,000 560,000 36,000 1. Equivalent units of production 2. Cost per equivalent unit Materials $ 238,370 $ 344,290 The beginning work in process inventory was 75% complete with respect to materials and 60% complete with respect to labor and overhead. The ending work in process inventory was 55% complete with respect to materials and 35% complete with respect to labor and overhead. Materials $ 51,000 Labor Required: 1. Compute the first department's equivalent units of production for materials, labor, and overhead for the month. 2. Determine the first department's cost per equivalent unit for materials, labor, and overhead for…
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Daosta Inc. uses the FIFO method in its process costing system. The following data concern the operations of the company's first processing department for a recent month. Required: Using the FIFO method: a. Determine the equivalent units of production for materials and conversion costs. b. Determine the cost per equivalent unit for materials and conversion costs. c. Determine the cost of ending work in process inventory. d. Determine the cost of units transferred out of the department during the month. Work in process, beginning: Units in process Percent complete with respect to materials Percent complete with respect to conversion Costs in the beginning inventory: Materials cost Conversion cost Units started into production during the month Units completed and transferred out Costs added to production during the month: Daosta Inc. uses the FIFO method in its process costing system. The following data concern the operations of the company's first processing department for a recent…
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Jarvene Corporation uses the FIFO method in its process costing system. The following data are for the most recent month of operations in one of the company's processing departments: Units in beginning inventory Units started into production Units in ending inventory Units transferred to the next department Percentage completion of beginning inventory Percentage completion of ending Inventory 390 4,330 320 4,408 Materials $18.00 The cost of beginning Inventory according to the company's costing system was $7,880 of which $4,807 was for materials and the remainder was for conversion cost. The costs added during the month amounted to $179.771. The costs per equivalent unit for the month were: Conversion $ 23,00 Materials 70% 70% Cost per equivalent unit Required: 1. Compute the total cost per equivalent unit for the month. Conversion 30x 40x 4
CASE: The following data for the month of September were taken from the cost records of Department 1 of Pro-life Products which uses process costing system: Opening inventory of work in process: Units: 500 (with all materials added and 50% of labor and overhead) Cost: ■ Materials.. ■ Labor..... ■ Factory Overhead. ■ Materials.. ■ Labor........ ■ Factory Overhead. ..P14,900 Completed and transferred: 4,800 units Ending Inventory of work-in-process: Units: 700 (with all materials, and 60% of labor and overhead) REQUIREMENT: Upload a document containing your answers for the requirements below. Prepare a complete cost of production report using weighted average cost method containing the following: A. Accounting for the physical flow of units B. Equivalent units of production (EUP) C. Costs, identifying the cost per equivalent unit D. Cost Assignment, showing total cost to account and cost accounted for. ..P2,400 .P1,500 .P760 .P25,100 P19,380 Put into production Units: 5,000 Cost: