Operation costing. The Carter Furniture Company needs to determine the cost of two work orders for December 2017. Work Order 1200A is for 250 painted, unassembled chests and Work Order 1250A is for 400 stained, assembled chests. The following information pertains to these two work orders: Work Order 1200A 250 Work Order 1250A Number of chests Operations 1. Cutting 2. Painting 3. Staining 4. Assembling 6. Packaging 400 Use Use Use Do not use Do not use Use Do not use Use Use Use Selected budget information for December follows: Unassembled Chests Assembled Chests Total 1,500 $180,000 Chests 2,300 $232,000 800 $52,000 Direct materials costs Budgeted conversion costs for each operation for December follow: Cutting Painting Staining Assembling Packaging $41,400 6,400 24,000 33,000 11,500
Operation costing. The Carter Furniture Company needs to determine the cost of two work orders for December 2017. Work Order 1200A is for 250 painted, unassembled chests and Work Order 1250A is for 400 stained, assembled chests. The following information pertains to these two work orders: Work Order 1200A 250 Work Order 1250A Number of chests Operations 1. Cutting 2. Painting 3. Staining 4. Assembling 6. Packaging 400 Use Use Use Do not use Do not use Use Do not use Use Use Use Selected budget information for December follows: Unassembled Chests Assembled Chests Total 1,500 $180,000 Chests 2,300 $232,000 800 $52,000 Direct materials costs Budgeted conversion costs for each operation for December follow: Cutting Painting Staining Assembling Packaging $41,400 6,400 24,000 33,000 11,500
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Calculate the cost per unassembled chest and assembled chest for Work Order 1200A and Work Order 1250A, respectively.
![Operation costing. The Carter Furniture Company needs to determine the cost of two work orders
for December 2017. Work Order 1200A is for 250 painted, unassembled chests and Work Order 1250A is for
400 stained, assembled chests. The following information pertains to these two work orders:
Work Order 1200A
250
Work Order 1250A
Number of chests
Operations
1. Cutting
2. Painting
3. Staining
4. Assembling
6. Packaging
400
Use
Use
Use
Do not use
Do not use
Use
Do not use
Use
Use
Use
Selected budget information for December follows:
Unassembled Chests
Assembled Chests
Total
1,500
$180,000
Chests
2,300
$232,000
800
$52,000
Direct materials costs
Budgeted conversion costs for each operation for December follow:
Cutting
Painting
Staining
Assembling
Packaging
$41,400
6,400
24,000
33,000
11,500](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ffe617706-288e-41f6-9dbe-091038036f38%2Fe18def34-8286-409e-acae-3071a9da77e7%2Fxwzc9w4.jpeg&w=3840&q=75)
Transcribed Image Text:Operation costing. The Carter Furniture Company needs to determine the cost of two work orders
for December 2017. Work Order 1200A is for 250 painted, unassembled chests and Work Order 1250A is for
400 stained, assembled chests. The following information pertains to these two work orders:
Work Order 1200A
250
Work Order 1250A
Number of chests
Operations
1. Cutting
2. Painting
3. Staining
4. Assembling
6. Packaging
400
Use
Use
Use
Do not use
Do not use
Use
Do not use
Use
Use
Use
Selected budget information for December follows:
Unassembled Chests
Assembled Chests
Total
1,500
$180,000
Chests
2,300
$232,000
800
$52,000
Direct materials costs
Budgeted conversion costs for each operation for December follow:
Cutting
Painting
Staining
Assembling
Packaging
$41,400
6,400
24,000
33,000
11,500
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