Powers Inc. produces a protein drink. The product is sold by the gallon. The company has two departments: Mixing and Bottling. For August, the bottling department had 50,200 gallons in beginning inventory (with transferred-in costs of $283,000) and completed 206,000 gallons during the month. Further, the mixing department completed and transferred out 277,000 gallons at a cost of $607,000 in August. Required: 1. Prepare a physical flow schedule for the bottling department. Powers Inc. Physical Flow Schedule - Bottling Department For the Month of August Physical flow schedule: Units in beginning work in process Units started during the period Total units to account for Units completed and transferred out: Units started and completed Units completed from beginning work in process Units in ending work in process Total units accounted for 2. Calculate equivalent units for the transferred-in category. equivalent units 3. Calculate the unit cost for the transferred-in category. If required, round your answer to the nearest cent. per unit

Powers Inc. produces a protein drink. The product is sold by the gallon. The company has two departments: Mixing and Bottling. For August, the bottling department had 50,200 gallons in beginning inventory (with transferred-in costs of $283,000) and completed 206,000 gallons during the month. Further, the mixing department completed and transferred out 277,000 gallons at a cost of $607,000 in August. Required: 1. Prepare a physical flow schedule for the bottling department. Powers Inc. Physical Flow Schedule - Bottling Department For the Month of August Physical flow schedule: Units in beginning work in process Units started during the period Total units to account for Units completed and transferred out: Units started and completed Units completed from beginning work in process Units in ending work in process Total units accounted for 2. Calculate equivalent units for the transferred-in category. equivalent units 3. Calculate the unit cost for the transferred-in category. If required, round your answer to the nearest cent. per unit

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Washington State Fisheries, Incorporated, processes salmon for various distributors. Two…

A: WEIGHTED AVERAGE METHOD :— Under this method, equivalent units are calculated by adding equivalent…

Q: Kelley paint company uses the weighted average method to aacount for costs of production.…

A: The four steps in assigning cost to units completed and transferred out are (a) Summarize the…

Q: FIFO; Production ReportRefer to the information for Aztec Inc. on the previous page.Required:Prepare…

A: Using FIFO method of equivalent units computation, the beginning WIP is also treated separate where…

Q: Washington State Fisheries, Incorporated, processes salmon for various distributors. Two…

A: WEIGHTED AVERAGE METHOD :— Under this method, equivalent units are calculated by adding equivalent…

Q: Trevor Mills produces agricultural feed at its only plant. Materials are added at the beginning of…

A: EQUIVALENT UNITS OF PRODUCTION Equivalent Production is represents the production of a process in…

Q: A-Winery produces bottled wines for the hospitality industry in a four-stage process -Pumping,…

A: Solved Explanation:Step 1: Step 2: Step 3: Step 4:

Q: Calculating conversion costs and unit cost Spring Fresh produces premium bottled water. Spring Fresh…

A: 1. Conversion costs = Direct Labor cost + Manufacturing overhead =…

Q: Trevor Mills produces agricultural feed at its only plant. Materials are added at the beginning of…

A: Equivalent units of production is an amount of work done by production department on partially…

Q: Using the physical-volume method, what is Product X's approximate gross-margin percentage?

A: Physical measurement is the most straightforward method of common cost apportionment. The weighting…

Q: Bismite Corporation purchases trees from Cheney lumber and processes them up to the split-off point…

A: Joint cost :— It is the cost that are incurred jointly in the manufacturing of two or more joint…

Q: Tonbridge Corporation makes a health beverage named Tonbridge that is manufactured in a two-stage…

A: The term "cost of production" refers to the sum total of all expenses that a company must pay in…

Q: Thai Spring produces premium bottled water. Thai Spring purchases artesian water, stores the water…

A: Total cost of process comprises direct costs and indirect cost. The direct labor and overhead costs…

Q: Cool and Clear Company produces premium bottled water. In the second department, the Bottling…

A: The production cost report is prepared by the management by summarizing costs associated with the…

Q: Washington State Fisheries, Incorporated, processes salmon for various distributors. Two…

A: Equivalent units of production are an indication to show the work in process inventory at the end of…

Q: Washington State Fisheries, Incorporated processes salmon for various distributors. Two departments,…

A: Equivalent units means where the some goods remain incomplete at the end of process and we need to…

Q: Solve the attachment.

A: Step 1 Process costing is the determination of cost of products or services at each level of process…

Q: The Alfarm Corporation processes raw milk up to the splitoff point where two products, cream and…

A: Direct materials are raw materials that are created into finished merchandise. These don't seem to…

Q: . Patton Dyes manufactures colorings, primarily for textiles. Information on the work in process…

A: To compute the equivalent units for materials and conversion costs using the FIFO…

Q: Bismite Corporation purchases trees from Cheney lumber and processes them up to the split-off point…

A: Joint cost is the total cost incurred collectively on two or more than two products. It is the cost…

Q: Washington State Fisheries, Incorporated, processes salmon for various distributors. Two…

A: Inventory includes all the items, merchandise, and raw materials that are used by the business…

Q: 1. Determine the fixed and variable portions of the utility cost using the high-low method. 2.…

A: Mixed Cost refer to those costs which are variable as well as fixed in nature. Contribution is the…

Q: Sanyo Corporation manufactures a popular model of business calculators in a suburb of Seoul, South…

A: The rate at which one country’s currency can be converted into another country’s currency referred…

Q: Splish is a producer of perfume, sourcing materials from all over the world as it creates beautiful…

A: Weighted average method is one of useful method used in process costing. Under this, equivalent…

Q: The Blending Department for Westiana Paints started October with 1,200 gallons in process and…

A: Weighted Average Method :— Under this method, equivalent units is calculated by adding equivalent…

Q: The Alfarm Corporation processes raw milk up to the split-off point where two products, cream and…

A: When single raw material is used which results into multiple finished goods, we need to allocate the…

Concept explainers

Master Budget

A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.

Sales Budget and Selling

A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.

Question

Powers Inc. produces a protein drink. The product is sold by the gallon. The company has two departments: Mixing and Bottling. For August, the bottling department had
50,200 gallons in beginning inventory (with transferred-in costs of $283,000) and completed 206,000 gallons during the month. Further, the mixing department
completed and transferred out 277,000 gallons at a cost of $607,000 in August.
Required:
1. Prepare a physical flow schedule for the bottling department.
Powers Inc.
Physical Flow Schedule - Bottling Department
For the Month of August
Physical flow schedule:
Units in beginning work in process
Units started during the period
Total units to account for
Units completed and transferred out:
Units started and completed
Units completed from beginning work in process
Units in ending work in process
Total units accounted for
2. Calculate equivalent units for the transferred-in category.
equivalent units
3. Calculate the unit cost for the transferred-in category. If required, round your answer to the nearest cent.
per unit

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Introduction:

VIEW

Answer:

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Splish is a producer of perfume, sourcing materials from all over the world as it creates beautiful scents. In November, Splish was producing perfume that would be bottled into 1.2 ounce sizes. The manufacturing department reports the following information related to production of liquid perfume this month. Step 2: Determine physical status of units and convert into equivalent units Physical Units Equivalent Units DM Conversion Costs % Added Equiv. Units % Added Equiv. Units Units completed this period 380 100% 380 100% 380 Units in ending WIP Inventory 40 100% 40 40% 16 Total units accounted for 420 Total equivalent units of work done 420 396 Step 3: Account for costs Total Costs DM Conversion Costs Costs in beginning WIP Inventory (from last period) $2,065 $1,400 $665 Costs added to WIP Inventory this period 10,247…
Conlon Chemicals manufactures palnt thinner. Information on the work in process follows: • Beginning inventory, 38,900 partially complete gallons. • Transferred out, 212,400 gallons. • Ending inventory (materials are 21 percent complete; conversion costs are 10 percent complete). • Started this month, 240,400 gallons. Required: a. Compute the equivalent units for materials using the weighted-average method. b. Compute the equivalent units for conversion costs using the weighted-average method. Equivalent Units (gallons) a. Materials b. Conversion costs
Pure Spring Company produces premium bottled water. In the second department, the Bottling Department, conversion costs are incurred evenly throughout the bottling process, but packaging materials are not added until the end of the process. Costs in beginning Work-in-Process Inventory include transferred in costs of $1,700, direct labor of $600, and manufacturing overhead of $900. March data for the Bottling Department follow: View the data. Read the requirements. Requirement 1. Prepare a production cost report for the Bottling Department for the month of March. The company uses the weighted-average method. (Complete all input fields. Enter a "0" for any zero balances. Round all cost per unit amounts to the nearest cent and all other amounts to the nearest whole dollar. Abbreviation used: EUP = equivalent units of production.) UNITS Units to account for: Total units to account for Units accounted for: Total units accounted for Pure Spring Company Production Cost Report - Bottling…
Blue Water Company produces premium bottled water. In the second department, the Bottling Department, conversion costs are incurred evenly throughout the bottling process, but packaging materials are not added until the end of the process. Costs in beginning Work-in-Process Inventory include transferred in costs of $1,200, direct labor of $600, and manufacturing overhead of $530 March data for the Bottling Department follow (Click the icon to view the data.) Read the requirements Divided by: Total EUP Cost per equivalent unit Costs accounted for Mar. 31 $ Finished Goods Inventory Work-in-Process Inventory-Bottling $ 180,000 $ 0.77 $ Completed and transferred out Ending work-in-process Total costs accounted for Requirement 2. Prepare the journal entry to record the cost of units completed and transferred out. (Record debits first, th Date Accounts Credit Debit 203,050 119,350 $ 19,250 138,600 S 155,000 0.18 S Work-in-Process Inventory-Bottling 172,500 0 36 27,900 S 0 27,900 S 55,800 $…
Bismite Corporation purchases trees from Cheney lumber and processes them up to the split-off point where two products (paper and pencil casings) are obtained. The products are then sold to an independent company that markets and distributes them to retail outlets. The following information was collected for the month of October: Trees processed: 280 trees Production: paper 160,000 sheets pencil casings 160,000 Sales: paper 147,000 at $0.10 per page pencil casings 158,500 at $0.13 per casing The cost of purchasing 280 trees and processing them up to the split-off point to yield 160,000 sheets of paper and 160,000 pencil casings is $13,000. Bismite's accounting department reported no beginning inventory. What is the total sales value at the split-off point for paper?
1. Raynor Manufacturing purchases trees from Tree Nursery and processes them up to the split-off point, where two products (paper and pencil casings) are obtained. The products are then sold to an independent company that markets and distributes them to retail outlets. The following information was collected for the month of October. Trees processed: 50 trees (vield is 30,000 sheets of paper and 30,000 pencil casings and no scrap) Production: раper pencil casings 30,000 sheets 30,000 Sales: раper pencil casings 29,000 at $0.04 per page 30,000 at $0.10 per casing Cost of purchasing 50 trees and processing them up to the split-off point to yield 30,000 sheets of paper and 30,000 pencil casings is $1,500. Raynor Manufacturing's accounting department reported no beginning inventories; however, ending inventory amounts reflected 1,000 sheets of paper in stock. What is the paper's sales value at the split-off point? $120 $3,000 $1,200 $1,160 $1,950
Just Step 4. Show work please.
please answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image)
The Green Company processes unprocessed goat milk up to the split- off point where two products, condensed goat milk and skim goat milk result. The following information was collected for the month of October: | Direct materials processed: 100,500 gallons (after shrinkage) 44,500 gallons Production: Condensed goat milk Skim goat milk 56,000 gallons $4.25 per gallon $3.50 per gallon Sales: Condensed goat milk Skim goat milk The costs of purchasing the of unprocessed goat milk and processing it up to the split - off point to yield a total of 100,500 gallons of saleable product was $186.480. There were no inventory balances of either product. Condensed goat milk may be processed further to yield 44,000 gallons (the remainder is shrinkage) of a medicinal milk product, Xyla, for an additional processing cost of $6 per usable gallon. Xyla can be sold for $21 per gallon. Skim goat milk can be processed further to yield 54,700 gallons of skim goat milk ice cream. for an additional processing…
4 Gibson Corporation makes a health beverage named Gibson that is manufactured in a two-stage production process. The drink is first created in the Conversion Department where material ingredients (natural juices, supplements, preservatives, etc.) are combined. On July 1. Year 2, the company had a sufficient quantity of partially completed beverage mix in the Conversion Department to make 54,000 containers of Gibson. This beginning inventory had a cost of $59,500. During July, the company added ingredients necessary to make 220,000 containers of Gibson. The cost of these ingredients was $385,000. During July, liquid mix representing 205,000 containers of the beverage was transferred to the Finishing Department. The beverage mix is poured containers and packaged for shipment in the Finishing Department. Beverage that remained in the Conversion Department at the end of July was 25 percent complete. At the beginning of July the Finishing Department had 12,000 containers of beverage mix.…
The Kenton Company processes unprocessed milk to produce two products, Butter Cream and Condensed Milk. The following information was collected for the month of June: Direct Materials processed: 27,500 gallons (after shrinkage) Production: Sales: Sales Price: Separable costs in total: A. $35,600 B. $19,428 Butter Cream C. $33,580 Condensed Milk D. $13,000 Butter Cream Condensed Milk Butter Cream Condensed Milk Butter Cream Condensed Milk 12,500 15,000 gallons 12,000 14,500 $4.50 $8.00 $13,000 gallons $35,600 The cost of purchasing the of unprocessed milk and processing it up to the split-off point to yield a total of 27,500 gallons of saleable product was $53,000. gallons The company uses constant gross-margin percentage NRV method to allocate the joint costs of production. What is the allocated joint costs of Butter Cream? (Round intermediary percentages to the nearest hundredth.) gallons per gallon per gallon
Washington State Fisheries, Inc., processes salmon for various distributors. Two departments, processing and packaging, are involved. Data relating to tons of salmon sent to the processing department during May follow: Percent Completed Tons of Salmon Direct Materials Conversion Work-in-process inventory, May 1 1,840 80 % 70 % Work-in-Process inventory, May 31 2,560 50 % 30 % Started processing during May 9,600 Required: 1. Calculate the number of tons completed and transferred out during the month. 2. Calculate the number of equivalent units for both direct materials and conversion for the month of May, assuming that the company uses the weighted-average method. 3. How would your answer in requirement 2 change if the percentage of completion in ending inventory were as follows: direct materials 30%, conversion 40%?