Lenlen Corporation produces a product through a continuous process in two departments. Materials in this department are added at the beginning of the process. The production and cost data were taken from Department B during September, 2012. Production data: Received from Department A Completed and transferred In process, end (50% complete) Lost Cost data: Received from Department A Materials Labor Overhead Cost of production report under the following assumptions: 80,000 units 60,000 units 10,000 units 10,000 units 560,000 175,000 121,875 243,750 Required: a. Lost units - normal, discovered at the beginning

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Lenlen Corporation produces a product through a continuous process in two
departments. Materials in this department are added at the beginning of the process.
The production and cost data were taken from Department B during September, 2012.
Production data:
Received from Department A
Completed and transferred
In process, end (50% complete)
Lost
80,000 units
60,000 units
10,000 units
10,000 units
Cost data:
Received from Department A
Materials
Labor
Overhead
Cost of production report under the following assumptions:
560,000
175,000
121,875
243,750
Required:
a. Lost units - normal, discovered at the beginning
b. Lost units - normal, discovered at the end
c. Lost units - abnormal, discovered when 60% completed
d. Lost units - abnormal, discovered at the end. The estimated value of the
spoiled units P 12.00 each.
Transcribed Image Text:Lenlen Corporation produces a product through a continuous process in two departments. Materials in this department are added at the beginning of the process. The production and cost data were taken from Department B during September, 2012. Production data: Received from Department A Completed and transferred In process, end (50% complete) Lost 80,000 units 60,000 units 10,000 units 10,000 units Cost data: Received from Department A Materials Labor Overhead Cost of production report under the following assumptions: 560,000 175,000 121,875 243,750 Required: a. Lost units - normal, discovered at the beginning b. Lost units - normal, discovered at the end c. Lost units - abnormal, discovered when 60% completed d. Lost units - abnormal, discovered at the end. The estimated value of the spoiled units P 12.00 each.
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