i) Compute the equivalent units in the Mixing Department for direct materials and for conversion costs
i) Compute the equivalent units in the Mixing Department for direct materials and for conversion costs
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Question 2
Vaasa Chemicals makes a product by way of two processes -
costing system in the Mixing Department has two direct cost categories (Chemical P &
Chemical Q) and one conversion costs pool. Chemical P is introduced at the start of the
operations in the Mixing Department and Chemical Q is added when the product is three-
fourths (75%) completed in the Mixing Department. The following information pertains to the
Mixing department for July:
Mixing & Refining. Its process
Units
Work in process inventory, July 1
Started production
Completed and transferred to Refining Department
Ending work in process inventory [two-thirds (66½%)of the way through
the Mixing process]
50,000
35,000
15,000
Costs
Beginning WIP inventory
$0
Costs added during July:
Chemical P
250,000
Chemical Q
70,000
Direct Labour
32,000
Manufacturing overhead
103,000
Required:
i)
Compute the equivalent units in the Mixing Department for direct materials and for
conversion costs](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F5999f1c7-d6c4-4eeb-b7b8-a1dbe00e0aa3%2F11250288-f40e-47d9-a2e0-3df3e69b97cf%2Fhqc2fc_processed.png&w=3840&q=75)
Transcribed Image Text:Question 2
Vaasa Chemicals makes a product by way of two processes -
costing system in the Mixing Department has two direct cost categories (Chemical P &
Chemical Q) and one conversion costs pool. Chemical P is introduced at the start of the
operations in the Mixing Department and Chemical Q is added when the product is three-
fourths (75%) completed in the Mixing Department. The following information pertains to the
Mixing department for July:
Mixing & Refining. Its process
Units
Work in process inventory, July 1
Started production
Completed and transferred to Refining Department
Ending work in process inventory [two-thirds (66½%)of the way through
the Mixing process]
50,000
35,000
15,000
Costs
Beginning WIP inventory
$0
Costs added during July:
Chemical P
250,000
Chemical Q
70,000
Direct Labour
32,000
Manufacturing overhead
103,000
Required:
i)
Compute the equivalent units in the Mixing Department for direct materials and for
conversion costs
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