Rigby Ltd accumulates costs for its single product using process costing. Direct material is added at thebeginning of the production process, and conversion activity occurs uniformly throughout the process.The following is a partially completed production report for May.Production report, MayPercentage ofcompletion withPhysicalEquivalent unitsunitsDirectConversionmaterialsrespectto conversionWork in process, 1 MayUnits started during May25,00030,00040%55,00035,000Units completed andtransferred out during MayWork in process, 31 May35,00035,00020,00080%20,00016,000Total units accounted for55,000Direct materialConversionTotalWork in process, 1 MayCosts incurred during May$143,000$165,000$308,000$474,700$2,009,000$2,483,700$617,700$2,174,000$2,791,700Total costs to account forRequired:a) Complete the following process costing steps using the weighted average method:iCalculation of equivalent units.iiCalculation of unit costs.iii Analysis of total costs.b) Prepare a journal entry to record the transfer of the cost of goods completed and transferred outduring May.

Process costing is a costing method used in manufacturing companies with mass production in many…

Answered: Rigby Ltd accumulates costs for its…

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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Assad Company uses the process costing method with the following data for the month of July. Work-in-process, July 1, 30,000 units: Direct material: 100% completed $ 65,500 Conversion: 30% completed 51,910 Balance in work in process, July 1 $117,410 Units started during July 40,000 Units finished 50,000 Work in process, July 31, 20,000 units: Direct material: 100% completed Conversion: 60% completed Cost incurred during July: Direct materials $ 120,000 Conversion costs 199,810 Total $ 319,810 Required: (1) Compute cost per equivalent unit under the weighted - average method. (2) Compute cost per equivalent unit under FIFO method.
Cost of Units Transferred Out and Ending Work in Process The costs per equivalent unit of direct materials and conversion in the Rolling Department of Jabari Steel Company are $2.55 and $1.35, respectively. The equivalent units to be assigned costs are as follows: Equivalent Units Direct Materials Inventory in process, October 1 Started and completed during October Transferred out of Rolling (completed) Inventory in process, October 31 Total units to be assigned costs The beginning work in process inventory on October 1 had a cost of $1,300. Determine the cost of completed and transferred-out production, the ending work in process inventory, and the total costs assigned by the Rolling Department. Completed and transferred-out production Inventory in process, October 31 Total costs assigned by the Rolling Department 0 39,000 39,000 2,000 41,000 $ $ Equivalent Units Conversion 2,000 39,000 41,000 1,000 42,000 X X X
Lenning Corporation uses the FIFO method in its process costing. The following data pertain to its Assembly Department for August. Percent Complete Materials Conversion 45% Work in process, August 1 Units started into production during August Units completed during August and transferred to the next department Work in process, August 31 Units 500 9,600 sex 8,600 1,500 65% 30% D Required: Compute the equivalent units of production for both materials and conversion costs for the Assembly Department for August using the FIFO method Materials Conversion Equivalent units of production
Dengar
•) Mccabe Corporation uses the weighted average Method in it's process Costing. The following data pertain to its Assembly Department for September. Work in process, September Units Started into production doring September Units Completed during September and transferred to the next department Work in process, September 30 Percentage Complete Units Material Conversion 800 55% 10.1. 8,200 7,300 1,700 25% 25.1. Compute the equivalent units of production for both materials and Conversion Cost for the Assembly Department for September Using the weighted average method.
Magic Company adds materials at the beginning of the process in Department A. The following information on physical units for Department A for the month of August is available. Work in process, August 1 (65% complete with respect to conversion) Started in August Completed Work in process, August 31 (71% complete with respect to conversion) Required: a. Compute the equivalent units for materials costs and for conversion costs using the weighted-average method. b. Compute the equivalent units for materials costs and for conversion costs using the FIFO method. a. Using the weighted-average method b. Using the FIFO method Equivalent Units Materials 17,700 118,900 118,900 17,700 Conversion Costs
Question: Ebony Company uses the weighted-average method of process costing to assign production costs to the products. Information for April follows. Assume that all materials are added at the beginning of the production process, and that direct labor and factory overhead are added uniformly throughout the process. Complete a process cost summary using the following sections: Beginning WIP Units completed and transferred Units Material Conversion 5000 50000 100000 20000 250000 500000 Ending WIP 80% complete with 7000 respect to conversion and 100% for materials 1. Costs charged to production 2. Unit cost information 3. Equivalent units of production 4. Cost per Equivalent unit of production
ABC Company employs a process costing system for its manufacturing operations. All direct materials are added at the beginning of the process and conversion costs are added proportionately. The production quantity schedule for April is reproduced below: Work in process on April 1 (60% complete as to conversion costs) 1,000 Units started during April 5,000 Total units to account for 6,000 Units completed and transferred out 4,000 Work in process on April 30 (20% complete as to conversion costs) 2,000 Total units accounted for 6,000 Costs pertaining to the month of April are as follows: Beginning inventory costs: (DM, $54,600; Conversion, $35,560) $90,160 Costs incurred during April (DM, $468,000; Conversion $574,060) $1,042,060 Question #1: Using the weighted average method, the equivalent unit materials cost for April is? Question #2: Using the weighted average method, the 4,000 units completed during April will be transferred out at an EUP unit cost of?
At Greytown Company, materials are entered at the beginning of each process. Work in process inventories, with the percentage of work done on conversion, and production data for its Painting Department in selected months are as follows: Beginning Work In Process Ending Work In Process Percentage Units Completed Percentage Month Units Completed and Transferred Out Units Completed July -0- — 11,000 1,500 90% Sept. 2,500 20% 9,000 5,000 70% Instructions Compute the equivalent units of production for materials and conversion costs for September.
Cost of Units Transferred Out and Ending Work in Process The costs per equivalent unit of direct materials and conversion in the Rolling Department of Jabari Steel Company are $1.70 and $2.40, respectively. The equivalent units to be assigned costs are as follows: Equivalent Units Direct Materials 0 Inventory in process, October 1 Started and completed during October Transferred out of Rolling (completed) Inventory in process, October 31 Total units to be assigned costs 72,000 The beginning work in process inventory on October 1 had a cost of $2,900. Determine the cost of completed and transferred-out production, the ending work in process inventory, and the total costs assigned by the Rolling Department. Completed and transferred-out production Inventory in process, October 31 Total costs assigned by the Rolling Department 65,000 65,000 7,000 Equivalent Units Conversion 4,600 65,000 69,600 S 2,800 72,400
Prepare a Production Cost Report Troika Company The production information for Troika's Smoothing department for August is as follows: Work in process Beginning balance: materials Beginning balance: conversion Materials Labor Overhead Cost $ 1,550 2,500 7,441 14,520 7,930 Beginning units Transferred in Transferred in Transferred out Units 650 1,780 1,810 All materials are added at the beginning of the period. The ending work in process is 30% complete as to conversion. Prepare a production cost report for August for the Smoothing Department.
Accounting Use the FIFO method of process costing. Prepare schedules to accomplish each of the following process-costing steps for the month of April. l. Analysis of physical flow of units. 2. Calculation of equivalent units. 3. Computation of unit costs. 4. Analysis of total costs Moravia Company processes and packages cream cheese. The following data have been compiled for the month of April. Conversion activity occurs uniformly throughout the production process. Work in process, April 1—10,000 units: Direct material: 100% complete, cost of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 22,000 Conversion: 20% complete, cost of . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,500 Balance in work in process, April 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 26,500 Units started during April . . . . . . . . . . . . . . . . . . . . . . . . .…

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