Cool and Clear Company produces premium bottled water. In the second department, the Bottling Department, conversion costs are incurred evenly throughout the bottling process, but packaging materials are not added until the end of the process. Costs in beginning Work-in-Process Inventory include transferred in costs of $2,000, direct labor of $700, and manufacturing overhead of $330. March data for the Bottling Department follow. (Click the icon to view the data.) Read the requirements UNITS Units to account for Beginning work-in-process Transferred in Total units to account for Units accounted for Completed and transferred out Ending work-in-process Total units accounted for COSTS Costs to account for Beginning work-in-process Costs added during the period Total costs to account for Divided by: Total EUP Cost per equivalent unit Costs accounted for: Completed and transferred out Ending work-in-process Total costs accounted for VIRLO 11.000 164,000 175,000 152,000 23,000 175.000 $ Transferred In $ *** $ 152,000 23,000 175.000 MULTIDI 2,000 $ 134,500 136,500 $ 175,000 0.78 S 152,000 0 152,000 UUDIO Direct Conversion Costs Materials 0 S 30,400 30,400 S 152,000 0.20 $ 152,000 16.100 168,100 Total Costs 1,030 S 3,030 49,400 214,300 50,430 $ 217,330 168,100 0.30 Data table Cool and Clear Company Work-in-Process Inventory-Bottling Month Ended March 31, 2024 Beginning inventory, Mar. 1 (40% complete) Production started Transferred out Ending inventory, Mar. 31 (70 % complete) Requirements Transferred Direct In Materials Units 11,000 S 164,000 152,000 23.000 Print 700 S 2,000 134,500 S 30,400 33,900 Dollars Direct Manufacturing Overhead Labor $ Done Total Costs 1. Prepare a production cost report for the Bottling Department for the month of March. The company uses the weighted-average method. 2. Prepare the journal entry to record the cost of units completed and transferred out. 3. Post all transactions to the Work-in-Process Inventory-Bottling T-account. What is the ending balance? - X 330 S 3,030 15,500 214,300 - X
Cool and Clear Company produces premium bottled water. In the second department, the Bottling Department, conversion costs are incurred evenly throughout the bottling process, but packaging materials are not added until the end of the process. Costs in beginning Work-in-Process Inventory include transferred in costs of $2,000, direct labor of $700, and manufacturing overhead of $330. March data for the Bottling Department follow. (Click the icon to view the data.) Read the requirements UNITS Units to account for Beginning work-in-process Transferred in Total units to account for Units accounted for Completed and transferred out Ending work-in-process Total units accounted for COSTS Costs to account for Beginning work-in-process Costs added during the period Total costs to account for Divided by: Total EUP Cost per equivalent unit Costs accounted for: Completed and transferred out Ending work-in-process Total costs accounted for VIRLO 11.000 164,000 175,000 152,000 23,000 175.000 $ Transferred In $ *** $ 152,000 23,000 175.000 MULTIDI 2,000 $ 134,500 136,500 $ 175,000 0.78 S 152,000 0 152,000 UUDIO Direct Conversion Costs Materials 0 S 30,400 30,400 S 152,000 0.20 $ 152,000 16.100 168,100 Total Costs 1,030 S 3,030 49,400 214,300 50,430 $ 217,330 168,100 0.30 Data table Cool and Clear Company Work-in-Process Inventory-Bottling Month Ended March 31, 2024 Beginning inventory, Mar. 1 (40% complete) Production started Transferred out Ending inventory, Mar. 31 (70 % complete) Requirements Transferred Direct In Materials Units 11,000 S 164,000 152,000 23.000 Print 700 S 2,000 134,500 S 30,400 33,900 Dollars Direct Manufacturing Overhead Labor $ Done Total Costs 1. Prepare a production cost report for the Bottling Department for the month of March. The company uses the weighted-average method. 2. Prepare the journal entry to record the cost of units completed and transferred out. 3. Post all transactions to the Work-in-Process Inventory-Bottling T-account. What is the ending balance? - X 330 S 3,030 15,500 214,300 - X
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter8: Standard Cost Accounting—materials, Labor, And Factory Overhead
Section: Chapter Questions
Problem 7P: The standard cost summary for the most popular product of Phenom Products Co. is shown as follows,...
Related questions
Concept explainers
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.
Topic Video
Question
Transcribed Image Text:Cool and Clear Company produces premium bottled water. In the second department, the Bottling Department, conversion costs are incurred evenly throughout the bottling process, but packaging materials are not added until the end of the process. Costs in
beginning Work-in-Process Inventory include transferred in costs of $2,000, direct labor of $700, and manufacturing overhead of $330. March data for the Bottling Department follow:
(Click the icon to view the data.)
Read the requirements
UND 3
Units to account for:
Beginning work-in-process
Transferred in
Total units to account for
Units accounted for:
Completed and transferred out
Ending work-in-process
Total units accounted for
COSTS
Costs to account for:
Beginning work-in-process
Costs added during the period
Total costs to account for
Divided by: Total EUP
Cost per equivalent unit
Costs accounted for:
Completed and transferred out
Ending work-in-process
Total costs accounted for
Villa
11,000
164,000
175.000
152,000
23,000
175,000
$
Transferred
In
$
III
$
152,000
23,000
175,000
MULGIRIS
2,000 $
134,500
136,500 $
175,000
0.78 $
152,000
0
152,000
0 $
30,400
30,400 $
152,000
PUBLI
Direct Conversion
Materials
Costs
0.20 $
152,000
16,100
168,100
Total
Costs
1,030 $ 3,030
49,400 214,300
50,430 $ 217,330
168,100
0.30
Data table
Cool and Clear Company
Work-in-Process Inventory-Bottling
Month Ended March 31, 2024
Beginning inventory, Mar. 1 (40% complete)
Production started
Transferred out
Ending inventory, Mar. 31 (70% complete)
Requirements
Transferred Direct
In
Materials
Units
11,000 S
164,000
152,000
23,000
Print
2,000
700 S
134,500 $ 30.400 33,900
$
Dollars
Direct Manufacturing Total
Labor Overhead
Costs
Done
1. Prepare a production cost report for the Bottling Department for the month of March. The company uses
the weighted-average method.
2. Prepare the journal entry to record the cost of units completed and transferred out.
3. Post all transactions to the Work-in-Process Inventory-Bottling T-account. What is the ending balance?
- X
330 $ 3,030
15,500 214,300
X
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 2 images
Knowledge Booster
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.Recommended textbooks for you
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College