E3-7 Calculating Equivalent Units, Cost per Equivalent Unit, Reconciling the Cost of Work in Process (Weighted-Average Method) [LO 3-2, 3-3] Silver Company manufactures kites and has the following information available for the month of April: Work in process, April 1 (100% complete for materials, 46% for conversion) Direct materials 33,000 units 50,000 56,000 Conversion cost $ Number of units started 79,000 units April costs Direct materials 106,000 171,000 Conversion cost Work in process, April 30 (100% complete for materials, 29% for conversion) 36,000 units EA CA

E3-7 Calculating Equivalent Units, Cost per Equivalent Unit, Reconciling the Cost of Work in Process (Weighted-Average Method) [LO 3-2, 3-3] Silver Company manufactures kites and has the following information available for the month of April: Work in process, April 1 (100% complete for materials, 46% for conversion) Direct materials 33,000 units 50,000 56,000 Conversion cost $ Number of units started 79,000 units April costs Direct materials 106,000 171,000 Conversion cost Work in process, April 30 (100% complete for materials, 29% for conversion) 36,000 units EA CA

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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I need help with calculating the manufactured overhead, what do I use to get it
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which of the following is the best example of a unit-level activity? 1.Painting a final product 2.Human resources 3.Product testing 4. none
In detail discuss what are the advantages and disadvantages of using FIFO for process costing. In periods when costs are increasing how will FIFO affect reported net income? What about in periods of declining costs? Explain.
For the weighted average method of process costing, the: total cost of completed units equals the total cost of ending work in process. unit cost of materials equals the unit cost for conversion costs. equivalent units for conversion costs are higher than the equivalent units for materials. flow of physical units produces the same results as the computations for equivalent units. None of the above is true.
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Overhead application to costs is a critical issue for the costing of your products. We are studying several ways to handle this situation. What would cause an overhead to be overapplied, or underapplied. Discuss the results to your decision making and the financial statements for each of those two situations.
Question Describe how Required Production in Units is calculated. Do not write formula only. The description should not be longer than a page.
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Disadvantages of activity-based costing include which of the following? a. It is not acceptable under GAAP for external reporting. b. It can be costly to implement. c. It can be used in activity-based management. d. Both a. and b.