Homework Help is Here – Start Your Trial Now!
Business
Accounting
17. Cost of Abnormal Spoilage: ________________________ 18. Cost of Ending Work in Process: ________________________

17. Cost of Abnormal Spoilage: ________________________ 18. Cost of Ending Work in Process: ________________________

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

1.

Bottling Department (FIFO)

17. Cost of Abnormal Spoilage: ________________________
18. Cost of Ending Work in Process: ________________________

SpotQut Company manufactures an industrial strength pet stain removal solution in two departments; mixing and bottling. Note: The Company sells its product in 8 oz. spray bottles." Ingredients are added throughout the Mixing Department process. However, all bottling materials are in place at the beginning of the Bottling Department process. The company inspects the product for faulty spray bottles and ineffertive solution at the end of the bottling process. The nomal spoilage rate is I percent of good units transferred out to Finished Goods Inventory. The following information for the two departments for the month of January is as follows: Materials Conversion Регcent Percent Materials Couversion Mixing Department Work in process, January I Transferred to Bottling Ounces Complete Complete 30% Costs Costs 36,000 40% $2,100 $3,100 288,000 Work in process, January 31 33,600 90% 40% Materials Conversion Prior Percent Percent Materials Conversion Dept Bottling Department Work in process, January I Transferred to Finished Goods Spoiled Work in process. January 31 Complete 100% Bottles Complete Costs Costs Costs 5,500 60% $6,200 $2,300 S18,000 34,500 900 6,100 100% 30% Costs incurred in January: Mixing Department Bottling Department Direct Materials Conversion $81,800 27,900 $30,800 43.000 Required: Complete the following information for the month of January for the Mixing and Bottling Departments. Both departments use the FIFO method of process costing.
Transcribed Image Text:SpotQut Company manufactures an industrial strength pet stain removal solution in two departments; mixing and bottling. Note: The Company sells its product in 8 oz. spray bottles." Ingredients are added throughout the Mixing Department process. However, all bottling materials are in place at the beginning of the Bottling Department process. The company inspects the product for faulty spray bottles and ineffertive solution at the end of the bottling process. The nomal spoilage rate is I percent of good units transferred out to Finished Goods Inventory. The following information for the two departments for the month of January is as follows: Materials Conversion Регcent Percent Materials Couversion Mixing Department Work in process, January I Transferred to Bottling Ounces Complete Complete 30% Costs Costs 36,000 40% $2,100 $3,100 288,000 Work in process, January 31 33,600 90% 40% Materials Conversion Prior Percent Percent Materials Conversion Dept Bottling Department Work in process, January I Transferred to Finished Goods Spoiled Work in process. January 31 Complete 100% Bottles Complete Costs Costs Costs 5,500 60% $6,200 $2,300 S18,000 34,500 900 6,100 100% 30% Costs incurred in January: Mixing Department Bottling Department Direct Materials Conversion $81,800 27,900 $30,800 43.000 Required: Complete the following information for the month of January for the Mixing and Bottling Departments. Both departments use the FIFO method of process costing.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 5 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Costing for Spoilage, rework and scrap
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS