Ice Cream uses a mixing department and a freezing department in producing its ice cream. Its process-costing system in the mixing department has two direct materials cost categories (ice cream mix and flavorings) and one conversion cost pool. The following data pertain to the mixing department for April 2017: The ice cream mix is introduced at the start of operations in the mixing department, and the flavorings are added when the product is 55% completed in the mixing department. Conversion costs are added evenly during the process. The ending work in process in the mixing department is 20% complete. Requirement 1. Compute the equivalent units in the mixing department for April 2017 for each cost category. 2. Compute (a) the cost of goods completed and transferred to the freezing department during April and (b) the cost of work in process as of April 30, 2017.
Ice Cream uses a mixing department and a freezing department in producing its ice cream. Its process-costing system in the mixing department has two direct materials cost categories (ice cream mix and flavorings) and one conversion cost pool. The following data pertain to the mixing department for April 2017: The ice cream mix is introduced at the start of operations in the mixing department, and the flavorings are added when the product is 55% completed in the mixing department. Conversion costs are added evenly during the process. The ending work in process in the mixing department is 20% complete. Requirement 1. Compute the equivalent units in the mixing department for April 2017 for each cost category. 2. Compute (a) the cost of goods completed and transferred to the freezing department during April and (b) the cost of work in process as of April 30, 2017.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Ice Cream uses a mixing department and a freezing department in producing its ice cream. Its process-costing system in the mixing department has two direct materials cost categories (ice cream mix and flavorings) and one conversion cost pool. The following data pertain to the mixing department for April 2017:
The ice cream mix is introduced at the start of operations in the mixing department, and the flavorings are added when the product is 55% completed in the mixing department. Conversion costs are added evenly during the process. The ending work in process in the mixing department is 20% complete.
Requirement
|
1.
|
Compute the equivalent units in the mixing department for
April
2017
for each cost category. |
|
2.
|
Compute (a) the cost of goods completed and transferred to the freezing department during
April
and (b) the cost of work in process as of
April
30,
2017.
|
Transcribed Image Text:- X
Data Table
Work in process, April 1
Started in April
11,000 gallons
Completed and transferred to freezing
9,200 gallons
Costs:
Ice cream mix
$ 27,500
Flavorings
$
3,680
Conversion costs
$ 28,680
Print
Done
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education