On October 1, Vader Corporation's Inventory and the costs charged to Work in Process—Department Princess during October are as follows: 8,000 units, 65% completed $ 304,000 From Department Vader, 64,000 units 704,000 Direct labor 725,000 Factory overhead 525,000 During October, all direct materials are transferred from Department Vader, the units in process at October1 were completed, and of the 64,000 units entering the department, all were completed except 5,200 units which were 70% completed as to conversion costs. All materials are added at the beginning of the process REQUIREMENT #1: Prepare a cost of production report for October using the FIFO Method (Round cost per equivalent unit to 4 decimal places, but the total amounts to nearest dollar.) REQUIREMENT #2: Prepare a cost of production report for October using the Weighted-Average Method (Round cost per equivalent unit to 4 decimal places, but the total amounts to nearest dollar.) Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
On October 1, Vader Corporation's Inventory and the costs charged to Work in Process—Department Princess during October are as follows:
| 8,000 units, 65% completed | $ 304,000 |
| From Department Vader, 64,000 units | 704,000 |
| Direct labor | 725,000 |
| Factory |
525,000 |
During October, all direct materials are transferred from Department Vader, the units in process at October1 were completed, and of the 64,000 units entering the department, all were completed except 5,200 units which were 70% completed as to conversion costs. All materials are added at the beginning of the process
REQUIREMENT #1: Prepare a cost of production report for October using the FIFO Method (Round cost per equivalent unit to 4 decimal places, but the total amounts to nearest dollar.)
REQUIREMENT #2: Prepare a cost of production report for October using the Weighted-Average Method
(Round cost per equivalent unit to 4 decimal places, but the total amounts to nearest dollar.)
Note:-
- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.
- Answer completely.
- You will get up vote for sure.
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