Exercise 6-55 (Static) Operations Costing (LO 6-4) Witt Recreation Company (WRC) makes e-bikes. The company currently manufactures two models, the Coaster and the Traveler, in one of the WRC factories. Both models require the same assembling operations. The difference between the models is the cost of materials. The following data are available for the second quarter. Number of bikes assembled Materials cost per bike Other costs: Direct labor Depreciation and lease Supervision and control Factory administration Operation cost Materials cost Total cost Unit cost Coaster 750 $ 624 Coster Required: Witt Recreation Company uses operations costing and assigns conversion costs based on the number of units assembled. Compute the cost of each model assembled in the second quarter. Traveler 450 $ 1,200 Traveler Total 1,200 $ 297,000 380,000 245,000 338,000 Total

Exercise 6-55 (Static) Operations Costing (LO 6-4) Witt Recreation Company (WRC) makes e-bikes. The company currently manufactures two models, the Coaster and the Traveler, in one of the WRC factories. Both models require the same assembling operations. The difference between the models is the cost of materials. The following data are available for the second quarter. Number of bikes assembled Materials cost per bike Other costs: Direct labor Depreciation and lease Supervision and control Factory administration Operation cost Materials cost Total cost Unit cost Coaster 750 $ 624 Coster Required: Witt Recreation Company uses operations costing and assigns conversion costs based on the number of units assembled. Compute the cost of each model assembled in the second quarter. Traveler 450 $ 1,200 Traveler Total 1,200 $ 297,000 380,000 245,000 338,000 Total

Name: Exercise 6-55 (Static) Operations Costing (LO 6-4)Witt Recreation Com
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Description: Exercise 6-55 (Static) Operations Costing (LO 6-4)Witt Recreation Company (WRC) makes e-bikes. The company currently manufactures two models, the Coaster and the Traveler, in oneof the WRC factories. Both models require the same assembling operation

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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