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Explain how the manufacturing costs incurred during the month of september is $440,400. Part 2 : Required: Use the FIFO method, calculate cost per equivalent unit of conversion costs for the month of September. #Please no solution in image thanku#

Explain how the manufacturing costs incurred during the month of september is $440,400. Part 2 : Required: Use the FIFO method, calculate cost per equivalent unit of conversion costs for the month of September. #Please no solution in image thanku#

FINANCIAL ACCOUNTING
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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Explain how the manufacturing costs incurred during the month of september is $440,400.

Part 2 : Required: Use the FIFO method, calculate cost per equivalent unit of conversion costs for the month of September.

#Please no solution in image thanku#

Barker Ltd produces engine part F322 in a single process, Steel is added at the beginning and plastic is added at the 50% stage. Conversion costs are added uniformly. Activity for the month of September was: Opening inventory (80% complete) Units Started Closing Inventory (60% complete) Cost details 4,000 units 23,000 units 3,000 units Steel Plastic Opening WIP $ 21,500 $ 8,000 Cost Incurred during September $114,000 $46,400 Factory overhead is applied at 150% of the direct labour cost. Conversion $35,000 $284,500 The conversion cost for September includes $172,500 of actual overhead, with the remainder the direct labour cost for the month. Required: Calculate the amount of manufacturing costs incurred during the month of September Do not use the dollar sign $ in your answer. To be marked correct just enter your answer in dollars and rounded to the nearest dollar
Transcribed Image Text:Barker Ltd produces engine part F322 in a single process, Steel is added at the beginning and plastic is added at the 50% stage. Conversion costs are added uniformly. Activity for the month of September was: Opening inventory (80% complete) Units Started Closing Inventory (60% complete) Cost details 4,000 units 23,000 units 3,000 units Steel Plastic Opening WIP $ 21,500 $ 8,000 Cost Incurred during September $114,000 $46,400 Factory overhead is applied at 150% of the direct labour cost. Conversion $35,000 $284,500 The conversion cost for September includes $172,500 of actual overhead, with the remainder the direct labour cost for the month. Required: Calculate the amount of manufacturing costs incurred during the month of September Do not use the dollar sign $ in your answer. To be marked correct just enter your answer in dollars and rounded to the nearest dollar
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