CUst ANormal spoilage was computed to be 2,000 units. Spoilage is discovered at the end ofthe process and is debited to Finished Goods Inventory, it is not spread over goodunits produced. Costs per equivalent unit were: Prior department P 3.00; Materials P2.00; Conversion costs P4.00.10. The journal entry to remove all the costs of spoiling the 2,000 units from work inprocess is as follows:DebitCredita. Finished Goods Inventoryfor P6,000Work in Process Inventoryfor 6,000b. WP Inventory for P6,000C. FG Inventory for P12,000d. FG Inventory for P18,000FG Inventory for P6,000WP Inventory for P12,000WP Inventory for P18,000Stockton Company adds materials at the beginning of the process in Department M.Data concerning materials used in March production are as follows:Started during MarchCompleted and transferredNormal spoilageWork in process at March 3111. The equivalent units for materials are:a. 50,000b. 34,00050,000 units36,000 units4,000.units10,000 unitsC. 40,000d. 46,000Materials are added at the start of the process in Cesar company's blendingdepartment, the first stage of the production cycle. The units started during the monthwere 210,000. Completed and transferred, 110,000 and in process, end (50% comp)were 70,000:Under Cesar's cost accounting system, the costs incurred on the lost unitsare absorbed by the completed units only.12. What are the equivalent units for materials?a. 120,000b. 145,000C: 180,000d. 210,000 Chapter 10 Process CostingEllery Company instituted a new process in October, 2016. During October 10,000units were started in Department A. Of the units started, 1,000 were lost by shrinkagein the process, 7,000 were transferred to Dept. B, and 2,000 remained in work inprocess at October 31. The work in process at Oct. 31 was 100% complete as tomaterials and 50% complete as to conversion cost. Materials costs of P27,000 andconversion costs of P 40,000 were charged to Department A in October.13. What were the total costs transferred to Dept. B?a. P 53,900b. P 56,000c. P 61,600d. P 62,00014. What were the costs of the units in process, October 31?a. P-10,400b. P 11,000c. P 15,000d. P 18,100A sporting goods manufacturer buys wood as a direct material for baséball bats. TheForming department processes the baseball bats, and transfers the bats to the Finishingdepartment where additional work is applied. The Forming department beganmanufacturing 10,000 bats during the month of May. There was no beginninginventory. Costs for The Forming department for the month of May follows:Direct materialsConversion costsP 33,00017,000A total of 8,000 bats were completed and transferred to the Finishing department, theremaining 2,000 bats were still in process at the end of the month. All of the Formingdepartment's direct materials were placed in process, but on average, only 25% of theconversion.cost was applied to the ending work in process inventory.15. The cost allocated to units transferred to the Finishing departmenta, P 50,000b. Р 40,000с. Р 53.000d. P 42,40016. The cost allocated to the units in process at the end of the monthа. Р 2,2006. P 4,000c. P 4,800d. P.7,600

Equivalent units of products concept came in to existence when some units are not fully completed at…

Normal spoilage was computed to be 2,000 units. Spoilage is discovered at the end of the process and is debited to Finished Goods Inventory, it is not spread over good units produced. Costs per equivalent unit were: Prior department P 3.00%3; Materials P 2.00; Conversion costs P4.00. 10. The journal entry to remove all the costs of spoiling the 2,000 units from work in process is as follows: Debit Credit a. Finished Goods Inventory for P6,000 Work in Process Inventory for 6,000 b. WP Inventory for P6,000 C. FG Inventory for P12,000 d. FG Inventory for P18,000 FG Inventory for P6,000 WP Inventory for P12,000 WP Inventory for P18,000

Normal spoilage was computed to be 2,000 units. Spoilage is discovered at the end of the process and is debited to Finished Goods Inventory, it is not spread over good units produced. Costs per equivalent unit were: Prior department P 3.00%3; Materials P 2.00; Conversion costs P4.00. 10. The journal entry to remove all the costs of spoiling the 2,000 units from work in process is as follows: Debit Credit a. Finished Goods Inventory for P6,000 Work in Process Inventory for 6,000 b. WP Inventory for P6,000 C. FG Inventory for P12,000 d. FG Inventory for P18,000 FG Inventory for P6,000 WP Inventory for P12,000 WP Inventory for P18,000

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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Required:(a) Compute the equivalent units for direct materials (From Moulding & Direct materialsadded) and conversion costs.(b) Compute the: Cost per equivalent unit for direct materials and conversion costs Total cost of the skis completed and transferred out to the Packing Department. Cost of the unexpected losses Cost of ending work in process inventory in the Spraying Department.
Compute the total costs of the units (gallons) (a) completed and transferred out to the Packaging Department, and (b) in the Department ending Work-in-Process Inventory. Complete the Production Cost Report that you began in Requirement 1 by calculating the costs per equivalent unit in this step, and then by calculating the the total cost of units completed and transferred out and of units in ending inventory in the following step. (Complete all input fields. Enter a "0" for any zero balances. Round the cost per equivalent unit amounts to the nearest cent and all other amounts to the nearest dollar. Abbreviation used: EUP = equivalent units of production.)
Ferdon inc. company started job #4 with 32 units. 7 units were rejected upon inspection. normal spoilage is 5 units. costs prior to inspection amount to $1,450 per unit and the spoiled units have a salvage value of $520 per unit. what is the cost per unit of the good units in job #4
The selected answer is incorrect
Concord Company has recently tried to improve its analysis for its manufacturing process. Units started into production equaled 7000 and ending work in process equaled 400 units. Concord had no beginning work in process inventory. Conversion costs are applied equally throughout production, and materials are applied at the beginning of the process. How much is the materials cost per unit if ending work in process was 20% complete and total materials costs equaled $16100? $2.44. $2.30. $11.50. $2.18.
Sheridan Company accumulates the following data concerning raw materials in making one gallon of finished product. (1) Price-net purchase price $3.00, freight-in $0.50, and receiving and handling $0.20. (2) Quantity-required materials 3.50 pounds, allowance for waste and spoilage 0.80 pounds. Compute the following. (Round answers to 2 decimal places, e.g. 1.25.) (a) (b) (c) Standard direct materials price per gallon. Standard direct materials quantity per gallon. Total standard materials cost per gallon. ta pounds