PB3. LO 5.3 Vexar manufactures nails. Manufacturing is a one-step process where the nails are forged. This is the information related to this year's production: Units to Account For Units Materials Conversion Beginning work in process inventory 1,000 41,000 1,000 500 Started ? To account for 42,000 Ending inventory was 100% complete as to materials and 70% complete as to conversion, and the total materials cost is S115,080 and the total conversion cost is $72,072. Using the weighted-average method, what are the unit costs if the company transferred out 34,000 units? Using the weighted-average method, prepare the company's process cost summary for the month.

PB3. LO 5.3 Vexar manufactures nails. Manufacturing is a one-step process where the nails are forged. This is the information related to this year's production: Units to Account For Units Materials Conversion Beginning work in process inventory 1,000 41,000 1,000 500 Started ? To account for 42,000 Ending inventory was 100% complete as to materials and 70% complete as to conversion, and the total materials cost is S115,080 and the total conversion cost is $72,072. Using the weighted-average method, what are the unit costs if the company transferred out 34,000 units? Using the weighted-average method, prepare the company's process cost summary for the month.

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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Concept explainers

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.

Question

**PB3. LO 5.3** Vexar manufactures nails. Manufacturing is a one-step process where the nails are forged. This is the information related to this year’s production:

| Units to Account For | Units | Materials | Conversion |
|----------------------------|-------|-----------|------------|
| Beginning work in process inventory | 1,000 | 1,000 | 500 |
| Started | 41,000 | ? | ? |
| To account for | 42,000 | ? | ? |

Ending inventory was 100% complete as to materials and 70% complete as to conversion, and the total materials cost is $115,080 and the total conversion cost is $72,072. Using the weighted-average method, what are the unit costs if the company transferred out 34,000 units? Using the weighted-average method, prepare the company’s process cost summary for the month.

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