Cullumber Inc. manufactures a single product in a continuous processing environment. All materials are added at the beginning of the process, and conversion costs are incurred uniformly throughout the process. To assign costs to nventories, the company uses weighted-average process costing. The following information was available for 2022: Sales (selling price per unit, $43) Actual manufacturing overhead Selling and administrative expenses Unit production costs: Direct materials (1 kilogram) Direct labour (1/2 hour) Manufacturing overhead Total $5,000,900 $6.00 8.00 9.00 $23.00 (a) Units completed and transferred to finished goods Materials purchased Materials used in process Raw materials Work in process inventory (45% complete) Finished goods 752,400 373,920 An inventory count at year end (December 31, 2022) revealed that the inventories had the following balances: (1) Opening Balance - Raw Materials Calculate the following amounts for Cullumber Inc.: 159,600 units The January 1, 2022, work in process inventory units are 70% complete. The unit cost of production was the same in 2022 as it was in 2021. (3) Opening Balance - Finished Goods 142,500 kilograms 155,040 kilograms 9,120 kilograms 25,080 units 51,300 units The opening (January 1, 2022) balance in units and costs of (1) raw materials, (2) work in process inventory, and (3) finished goods (2) Opening Balance - Work in Process Inventory Units $ $ $ Cost
Cullumber Inc. manufactures a single product in a continuous processing environment. All materials are added at the beginning of the process, and conversion costs are incurred uniformly throughout the process. To assign costs to nventories, the company uses weighted-average process costing. The following information was available for 2022: Sales (selling price per unit, $43) Actual manufacturing overhead Selling and administrative expenses Unit production costs: Direct materials (1 kilogram) Direct labour (1/2 hour) Manufacturing overhead Total $5,000,900 $6.00 8.00 9.00 $23.00 (a) Units completed and transferred to finished goods Materials purchased Materials used in process Raw materials Work in process inventory (45% complete) Finished goods 752,400 373,920 An inventory count at year end (December 31, 2022) revealed that the inventories had the following balances: (1) Opening Balance - Raw Materials Calculate the following amounts for Cullumber Inc.: 159,600 units The January 1, 2022, work in process inventory units are 70% complete. The unit cost of production was the same in 2022 as it was in 2021. (3) Opening Balance - Finished Goods 142,500 kilograms 155,040 kilograms 9,120 kilograms 25,080 units 51,300 units The opening (January 1, 2022) balance in units and costs of (1) raw materials, (2) work in process inventory, and (3) finished goods (2) Opening Balance - Work in Process Inventory Units $ $ $ Cost
Chapter5: Process Costing
Section: Chapter Questions
Problem 1PB: The following product costs are available for Stellis Company on the production of erasers: direct...
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Transcribed Image Text:Cullumber Inc. manufactures a single product in a continuous processing environment. All materials are added at the
beginning of the process, and conversion costs are incurred uniformly throughout the process. To assign costs to
inventories, the company uses weighted-average process costing.
The following information was available for 2022:
Sales (selling price per unit, $43)
Actual manufacturing overhead
Selling and administrative expenses
Unit production costs:
Direct materials (1 kilogram)
Direct labour (1/2 hour)
Manufacturing overhead
Total
$5,000,900
752,400
373,920
$6.00
8.00
9.00
$23.00
Units completed and transferred to finished goods
Materials purchased
Materials used in process
(a)
Raw materials
Work in process inventory (45% complete)
Finished goods
An inventory count at year end (December 31, 2022) revealed that the inventories had the following balances:
Calculate the following amounts for Cullumber Inc.:
159,600 units
The January 1, 2022, work in process inventory units are 70% complete. The unit cost of production was the same in
2022 as it was in 2021.
142,500 kilograms
155,040 kilograms
9,120 kilograms
25,080 units
51,300 units
(1) Opening Balance - Raw Materials
The opening (January 1, 2022) balance in units and costs of (1) raw materials, (2) work in process inventory, and (3)
finished goods
(2) Opening Balance - Work in Process Inventory
(3) Opening Balance - Finished Goods
Units
$
$
Cost
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