At Onyx Incorporated, direct materials are added at the beginning of the process and conversions costs are uniformly applied. Other details include WIP beginning (70% for conversion) Units started Units completed and transferred out WIP ending (50% for conversion) Beginning WIP direct materials Beginning WIP conversion costs Costs of materials added Costs of conversion added What is the total cost of units completed and transferred out? OA. $600,000 OB. $750,000 C. $540,658 OD. $628,696 15,200 units 150,000 units 120,000 units 45,200 units $52,500 $25,200 $443,100 $260,000
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Step by step
Solved in 3 steps
