Alvis Construction Supply Company has a department that manufactures wood trusses (wood frames used in the constructionIndustry). The following Information is for the production of these trusses for the month of Februarywork-in-process inventory, February 1Direct materials: 100% completeConversion: 20% completeUnits started during FebruaryUnits completed during February and transferred outWork-in-process inventory, February 29Direct materials: 100% completeConversion: 40% completeCosts incurred during FebruaryDirect materials.ConversionRequiredUsing the weighted-average method, calculate the following:4,200 trusses$10,680$15,4581-a Cost per EU1-b. Cost of goods completed and transferred out1-c Costs remaining in the WIP Inventory account2 The weighted-average cost per equivalent unit18,200 trusses17,200 trusses1-a. Costs per equivalent unit. (Round your answers to 4 decimal places.)1-b. Cost of goods completed and transferred out. (Round "Cost per EU" to 4 decimal places. Round final answer to nearest wholedollars.)Direct Materials$59,240$92,2921-c. Costs remaining in the Work-In-Process Inventory account. (Round "Cost per EU" to 4 decimal places. Do not round otherIntermediate calculations. Round final answer to nearest whole dollars.)2. Assume that you are the company's controller. The production department's February equivalent unit cost is higher than expected. Ifthe manager of the first department asks you to do him a favor by increasing the ending inventory completion percentage from 40 to60% to lower the unit costs, how much would unit cost be affected by this request? (Round your answer to 4 decimal places.)Conversionby

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Description: Alvis Construction Supply Company has a department that manufactures wood trusses (wood frames used in the constructionIndustry). The following Information is for the production of these trusses for the month of Februarywork-in-process inventory, Fe

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Alvis Construction Supply Company has a department that manufactures wood trusses (wood frames used in the construction Industry). The following Information is for the production of these trusses for the month of February work-in-process inventory, February 1 Direct materials: 100% complete Conversion: 2ex complete Units started during February Units completed during February and transferred out Work-in-process inventory, February 29 Direct materials: 100% complete Conversion: 48% complete Costs incurred during February Direct materials Conversion Required Using the weighted average method, calculate the following: 4,200 trusses $10,680 $15,458 18,200 trusses 17,200 trusses $59,240 $92,292 1-a. Costs per equivalent unit. (Round your answers to 4 decimal places.) 1-b. Cost of goods completed and transferred out (Round "Cost per EU" to 4 decimal places. Round final answer to nearest whole dollars.) 1-c. Costs remaining in the Work-In-Process Inventory account. (Round "Cost per EU" to 4 decimal places. Do not round other Intermediate calqulasi

Alvis Construction Supply Company has a department that manufactures wood trusses (wood frames used in the construction Industry). The following Information is for the production of these trusses for the month of February work-in-process inventory, February 1 Direct materials: 100% complete Conversion: 2ex complete Units started during February Units completed during February and transferred out Work-in-process inventory, February 29 Direct materials: 100% complete Conversion: 48% complete Costs incurred during February Direct materials Conversion Required Using the weighted average method, calculate the following: 4,200 trusses $10,680 $15,458 18,200 trusses 17,200 trusses $59,240 $92,292 1-a. Costs per equivalent unit. (Round your answers to 4 decimal places.) 1-b. Cost of goods completed and transferred out (Round "Cost per EU" to 4 decimal places. Round final answer to nearest whole dollars.) 1-c. Costs remaining in the Work-In-Process Inventory account. (Round "Cost per EU" to 4 decimal places. Do not round other Intermediate calqulasi

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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The following cost information is available for July for the Crest Plant at Calvert Company: Beginning work-in-process inventory. Materials cost Conversion cost Total Current costs Materials cost Conversion cost Total $ 63,500 42,500 $ 106,000 $ 195,000 445,000 $640,000 Materials are added at the beginning of the process. The following quantities have been recorded: Beginning inventory, 47,500 partially complete gallons, 20 percent complete with respect to conversion costs. • Units started in July, 87,500 gallons. • Units transferred out in July, 97,500 gallons. • Ending inventory, 37,500 gallons, 45 percent complete with respect to conversion costs. Required: Compute the cost of goods transferred out and the ending inventory for July using the FIFO method. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar. Cost of goods transferred out Ending inventory
The following cost information is available for July for the Crest Plant at Calvert Company: Beginning work-in-process inventory Materials cost Conversion cost Total Current costs Materials cost Conversion cost Total $ 57,000 36,000 $ 93,000 $ 130,000 380,000 $ 510,000 Materials are added at the beginning of the process. The following quantities have been recorded: Beginning inventory, 41,000 partially complete gallons, 35 percent complete with respect to conversion costs. • Units started in July, 81,000 gallons. • Units transferred out in July, 91,000 gallons. Ending inventory, 31,000 gallons, 50 percent complete with respect to conversion costs. Cost of goods transferred out Ending inventory Required: Compute the cost of goods transferred out and the ending inventory for July using the FIFO method. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar.
Longboard Company has a process costing system. All materials are introduced at the beginning of the process in Department One. The following information is available for the month of January Work in process, July 1 (408 complete for conversion) Started Completed and transferred to Department 2 Work in process, July 31 (60% complete for conversion) What are the equivalent units for the month of July if the company uses the FIFO method? Multiple Choice Materials 2.280 and Conversion 1.900 O Materials 2,280 and Conversion 1.936 Materials 2.280 and Conversion 2.088 Materies 1,900 and Conversion 1936 Units Male 1900 and Conversion 2.08 380 1,900 1,800 480
The following information concerns production in the Forging Department for November. All direct materials are placed into the process at the beginning of production, and conversion costs are incurred evenly throughout the process. The beginning inventory consists of $35,700 of direct materials. ACCOUNT Work in Process-Forging Department Date Nov. Item 1 Bal., 3,400 units, 60% completed 30 Direct materials, 31,000 units 30 Direct labor 30 Factory overhead 30 Goods finished, 2 units 30 Bal., 2,700 units, 80% completed LA Debit 316,200 33,410 46,140 Credit ? ACCOUNT NO. Balance Debit Credit 40,596 356,796 390,206 436,346 ? ? a. Determine the number of units transferred to the next department. units b. Determine the costs per equivalent unit of direct materials and conversion. If required, round your answer to two decimal places. Cost per equivalent unit of direct materials Cost per equivalent unit of conversion c. Determine the cost of units started and completed in November.
Weatherly Lumber Company processes wood pulp for manufacturing various paper products. The company employs a process costing system for its manufacturing operations. All direct materials are added at the beginning of the process, and conversion costs are incurred uniformly throughout the process. This is the company's production schedule for May: Tons of Pulp Percent Completed Materials Conversion Work-in-Process Inventory, May 1 5,000 100% 50% Started during May 14,000 Units to account for 19,000 Units from beginning Work-in-Process, which were completed and transferred out during May 5,000 Started and completed during May 8,400 5,600 100% 50% 19,000 Work-in-Process Inventory, May 31 Total units accounted for The following cost data are available: Work-in-Process Inventory, May 1 Direct materials Conversion Costs incurred during May Direct materials Conversion Required: $ 74,920 68,756 210,840 409,630 1. Calculate the equivalent units of direct materials and conversion during May. Use…
Magic Company adds materials at the beginning of the process in Department A. The following information on physical units for Department A for the month of August is available. Work in process, August 1 (65% complete with respect to conversion) Started in August Completed Work in process, August 31 (71% complete with respect to conversion) Required: a. Compute the equivalent units for materials costs and for conversion costs using the weighted-average method. b. Compute the equivalent units for materials costs and for conversion costs using the FIFO method. a. Using the weighted-average method b. Using the FIFO method Equivalent Units Materials 17,700 118,900 118,900 17,700 Conversion Costs
Equivalent units of materials cost The Rolling Department of Fortress Steel Company had 200 tons in beginning work in process inventory (60% complete) on July 1. During July, 3,900 tons were completed. The ending work in process inventory on July 31 was 300 tons (25% complete). What are the total equivalent units for direct materials for July if materials are added at the beginning of the process?
Radford Products adds materials at the beginning of the process in Department A. The following information on physical units for Department A for the month of January is available. Units started in January 892,000 Units completed in January 916,000 Work in process, January 1 (25% complete with respect to conversion) 97,000 Work in process, January 31 (40% complete with respect to conversion) 73,000. Compute the equivalent units for materials costs and for conversion costs using the FIFO method.
Shirley Processing, Incorporated (SPI) makes adhesive tape. The following information on the physical flow of units and costs for month of March: Quantities Beginning work-in-process Started To account for Transferred out Ending work in process Accounted for Physical units Percentage Complete. Materials 107,000 100% Conversion 40% 957,000 1,064,000 975,500 100% 100% 88,500 100% 20% 1,064,000 Cost Beginning work-in-process Current period Total $ 186,570 1,871,298 Direct Materials $ 167,180 1,234,530 Conversion $ 19,390 636,768 Total $ 2,057,868 $ 1,401,710 $ 656,158 Required: a. Compute the equivalent units for the conversion cost calculation for March assuming Shirley Processing. Incorporated uses the weighted-average method. b. Compute the cost per equivalent unit for direct materials and conversion costs for March assuming Shirley Processing, Incorporated uses the weighted-average method. Complete this question by entering your answers in the tabs below. Required A Required B Compute…
Equivalent Units of Materials Cost The Rolling Department of Jabari Steel Company had 4,500 tons in beginning work in process inventory (30% complete) on October 1. During October, 74,300 tons were completed. The ending work in process inventory on October 31 was 3,700 tons (50% complete). What are the total equivalent units for direct materials for October if materials are added at the beginning of the process? X units
Weatherly Lumber Company processes wood pulp for manufacturing various paper products. The company employs a process costing system for its manufacturing operations. All direct materials are added at the beginning of the process, and conversion costs are incurred uniformly throughout the process. This is the company’s production schedule for May: Tons of Pulp Percent Completed Materials Conversion Work-in-Process Inventory, May 1 5,000 100% 50% Started during May 15,000 Units to account for 20,000 Units from beginning Work-in-Process, which were completed and transferred out during May 5,000 Started and completed during May 12,000 Work-in-Process Inventory, May 31 3,000 100% 50% Total units accounted for 20,000 The following cost data are available: Work-in-Process Inventory, May 1 Direct materials $ 94,000 Conversion 133,120 Costs incurred during May Direct materials 229,800 Conversion 376,000 Required: 1. Calculate…