Required information Use the following information for the Problems below. (Algo) [The following information applies to the questions displayed below.] Tamar Company manufactures a single product in two departments: Forming and Assembly. Information for the Forming process for May follows. Beginning work in process inventory Units started this period Units completed and transferred out Ending work in process inventory Beginning work in process inventory Direct materials Conversion Costs added this period Direct materials Conversion Total costs to account for Direct Materials Conversion Percent Percent Complete Complete 100% 40% Units 5,700 41,040 42,180 4,560 100% $ 37,620 421,686 $ 459,306 943,920 4,115,286 5,059,206 5,518,512 lem 3-4A (Algo) FIFO: Production cost report LO C2, P4 $ 80% me that Tamar uses the FIFO method of process costing. The units started and completed for may total 19,200. ired: Prepare the Forming department's production cost report for May using FIFO. Prepare the May 31 journal entry to transfer the cost of units from forming to Assembly.
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.
![Required information
Use the following information for the Problems below. (Algo)
[The following information applies to the questions displayed below.]
Tamar Company manufactures a single product in two departments: Forming and Assembly. Information for
the Forming process for May follows.
Beginning work in process
inventory
Units started this period
Units completed and
transferred out
Ending work in process
inventory
Beginning work in process
inventory
Direct materials
Conversion
Costs added this period
Direct materials
Conversion
Total costs to account for
Direct
MaterialsConversion
Percent Percent
Complete Complete
40%
Units
5,700 100%
41,040
42,180
4,560 100%
$ 37,620
421,686 $ 459,306
943,920
4,115,286 5,059,206
5,518,512
olem 3-4A (Algo) FIFO: Production cost report LO C2, P4
$
80%
me that Tamar uses the FIFO method of process costing. The units started and completed for may total 19,200.
ired:
Prepare the Forming department's production cost report for May using FIFO.
Prepare the May 31 journal entry to transfer the cost of units from forming to Assembly.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F80601c20-3572-48e6-a9ed-f163ced8bc6b%2Fd756ee91-ddaa-4dd0-8ac6-1f456138f04e%2F5x5qpvu_processed.png&w=3840&q=75)
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