Stormrage Company uses the weighted average method in its process costing system. In the most recent accounting period, the cost of beginning work in process inventory was $12,300, the cost of ending work in process inventory was $17,600, costs added to production during the current period were $147,000 and the cost of units transferred out of work in process was $141,700. Based on this information, what amount will Stormrage's Cost Reconciliation Report show as costs to be accounted for? $141,700 $154,000 $159,300 $164,600 a. b. C. d.

Stormrage Company uses the weighted average method in its process costing system. In the most recent accounting period, the cost of beginning work in process inventory was $12,300, the cost of ending work in process inventory was $17,600, costs added to production during the current period were $147,000 and the cost of units transferred out of work in process was $141,700. Based on this information, what amount will Stormrage's Cost Reconciliation Report show as costs to be accounted for? $141,700 $154,000 $159,300 $164,600 a. b. C. d.

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: A company makes two products 1 and 2. The finishing activity pool has estimated manufacuring costs…

A: Manufacturing overhead cost - it is the total indirect cost incurred during the manufacturing of a…

Q: Required information [The following information applies to the questions displayed below.] The first…

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

Q: The following selected information pertains to ABC Processing Company; Direct materials, P62,500;…

A: The manufacturing expenses that are incurred in the process of transforming raw materials into…

Q: Verrett Corporation is a manufacturer that uses job-order costing. The company has supplied the…

A: The journal entries are prepared to record the transactions on regular basis. The direct Costs are…

Q: Sultan Company uses an activity - based costing system. At the beginning of the year, the company…

A: The provided information outlines Sultan Company's activity-based costing system estimates for the…

Q: McAllister, Inc., employs a normal costing system. The following information pertains to the year…

A: Applied Manufacturing overhead = Total manufacturing costs x 20% = $1,380,000 x 20% = $276,000

Q: Kentucky Corporation uses a process-cost accounting system. The company adds direct materials at the…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: What is the cost of beginning work in process inventory plus the cost added during the period for…

A: The equivalent units are calculated on the basis of percentage of the work completed during the…

Q: Fountain Garden Supplies uses a traditional costing system for allocating manufacturing overhead…

A: Predetermined overhead rate is the one which is determined based on estimated values at the…

Q: Tomlison Corporation is a manufacturer that uses job-order costing. The company has supp following…

A: Given, Cost of goods sold = $1,517,000 The cost of goods manufactured is transferred to Finished…

Q: Chang Company provided the following data for this year: Manufacturing overhead costs incurred:…

A: SCHEDULE OF COST OF GOODS MANUFACTUREDSchedule Of Cost Of Goods Manufactured are those costs which…

Q: The Addy Company uses a weighted-average process costing system. The following data are available:…

A: The equivalent units are calculated on the basis of the percentage of the work completed during the…

Q: Ivano Company has collected cost accounting information for the following subset of items forYears 1…

A: A cost sheet seems to be a report that includes all of the expenses involved with an item or…

Q: I don't have option can you please solve this problem?

A: The cost of ending work-in-process inventory is computed by adding the equivalent cost of ending…

Q: 1. Raw materials purchases for cash. 2. Direct materials used. 3. Indirect materials used. Prepare…

A: Lets understand the basics. Journal entry is required to make to record event and transaction that…

Q: Godiva company has two products, A and B. The company uses activity-based costing to allocate…

A: Overhead rate per activity = Total cost / Total no. of activity Activity 1 = $42,000/300 = $140…

Q: The GA-42334 company uses direct labor cost as its allocation base for its predetermined overhead…

A: Work in Process inventory: Work in process is the term used to depict, to some degree, finished…

Q: A company uses a process cost accorinting system using the weighted average cost flow assumption.…

A: Equivalent units of conversion = Units completed and transferred out + Units in ending WIP*%…

Q: Use the following information for the next two questions: Sur Company uses a job-order costing…

A: Journal Entry :— It is an act of recording transactions in books of account when transaction…

Q: Bennette Corporation has provided the following data concerning its overhead costs for the coming…

A: The activity rate is calculated as estimated cost divided by the estimated activity usage. The…

Question

Stormrage Company uses the weighted average method in its process costing system.
In the most recent accounting period, the cost of beginning work in process inventory
was $12,300, the cost of ending work in process inventory was $17,600, costs added to
production during the current period were $147,000 and the cost of units transferred
out of work in process was $141,700.
Based on this information, what amount will Stormrage's Cost Reconciliation Report
show as costs to be accounted for?
a.
b.
C.
d.
$141,700
$154,000
$159,300
$164,600

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

Step 1: Explanation of the concept of "Cost to be Accounted for "

VIEW

Step 2: Calculation of Cost to be Accounted for

VIEW

Solution

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 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

[The following information applies to the questions displayed below.] Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials Work in process Finished goods The company applies overhead cost to jobs using direct labor-hours. For this year, the company's predetermined overhead rate of $12.50 per direct labor-hour was based on a cost formula that estimated $500,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-hours. The following transactions were recorded this year: $ 84,500 $ 35,000 $ 44,100 a. Raw materials were purchased on account, $614,000. b. Raw materials used in production, $567,600. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $450,000; indirect labor, $150,000; selling and administrative salaries, $290,000. d. Incurred various selling and administrative expenses…
The Gasson Company uses the weighted-average method in its process costing system. The company's ending work-in-process inventory consists of 15,000 units, The ending work-in-process inventory is 100% complete with respect to materials and 80% complete with respect to labor and overhead. If the costs per equivalent unit for the period are $4.40 for the materials and $1.60 for labor and overhead, what is the balance of the ending work-in-process inventory account would be: a. $85,200 b. $90,000 c. $76,700 d. $65,500
Tammy's Cosmetics uses a normal costing system and has the following balances at the end of its first years operations. WIP Inventory - $231,000; Finished-goods inventory - $198,000; Cost of goods sold - $396,000; Actual factory overhead - $416,000; Factory overhead applied - $456,000. Compute cost of goods sold for two different was to dispose of the year-end overhead balances. By how much would gross profit differ?
The following cost data relate to the manufacturing activities of Chang Company during the just completed year: Manufacturing overhead costs incurred: Indirect materials Indirect labor Property taxes, factory Utilities, factory Depreciation, factory Insurance, factory Total actual manufacturing overhead costs incurred Other costs incurred: Purchases of raw materials (both direct and indirect) Direct labor cost Inventories: Raw materials, beginning Raw materials, ending Work in process, beginning Work in process, ending Required: 1. Compute the amount of underapplied or overapplied overhead cost for the year. 2. Prepare a schedule of cost of goods manufactured for the year. Complete this question by entering your answers in the tabs below. The company uses a predetermined overhead rate of $24 per machine-hour to apply overhead cost to jobs. A total of 21,200 machine- hours were used during the year. Required 1 Required 2 Compute the amount of underapplied or overapplied overhead cost…
The Richmond Corporation uses the weighted average method in its process costing system. The company has only a single processing department. The company's ending work in process inventory on August 31 consisted of 18, 600 units. The units in the ending work in process inventory were 100% complete with respect to materials and 60%. complete with respect to labor and overhead. If the cost per equivalent unit for August was $2.90 for materials and $4.40 for labor and overhead, the total cost assigned to the ending work in process inventory was: Multiple Choice $135, 780 $81, 468 $86, 676 $103, 044