Tang Company accumulates the following data concerning rawmaterials in making one gallon of the finished product:1) Price-net purchase price $2.42, freight-in $0.58, and receiving andhandling $0.29.2) Quantity-required materials 2.80 pounds, allowance for waste andspoilage 0.88 pounds.Compute the following:a) Standard direct materials price per gallon.b) Standard direct materials quantity per gallon.c) Total standard materials cost per gallon.

Step 1: Definition of Standard Direct Materials CostThe standard direct materials cost represents…

Answered: Tang Company accumulates the following…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 7PB: The following data show the units in beginning work in process inventory, the number of units...

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Kingbird Company accumulates the following data concerning raw materials in making one gallon of finished product. (1) Price—net purchase price $2.70, freight-in $0.60, and receiving and handling $0.50. (2) Quantity—required materials 3.50 pounds, allowance for waste and spoilage 0.90 pounds.Compute the following. (Round answers to 2 decimal places, e.g. 1.25.) (a) Standard direct materials price per gallon. $enter the standard direct materials price per gallon in dollars rounded to 2 decimal places (b) Standard direct materials quantity per gallon. enter the standard direct materials quantity per gallon in pounds rounded to 2 decimal places pounds (c) Total standard materials cost per gallon.
Compute the following requirements for this financial accounting question
Sheridan Company accumulates the following data concerning raw materials in making one gallon of finished product. (1) Price-net purchase price $3.00, freight-in $0.50, and receiving and handling $0.20. (2) Quantity-required materials 3.50 pounds, allowance for waste and spoilage 0.80 pounds. Compute the following. (Round answers to 2 decimal places, e.g. 1.25.) (a) (b) (c) Standard direct materials price per gallon. Standard direct materials quantity per gallon. Total standard materials cost per gallon. ta pounds
Jennifer Company accumulates the following data concerning raw materials in making its finished product. (1) Price per pound of raw materials is net purchase price $2.50, freight-in.$0.30, and receiving and handling $0.30. (2) Quantity per gallon of finished product is required materials 3.4 pounds and allowance for waste and spoilage 0.7 pounds. Compute the following. (Round answers to 2 decimal places, e.g. 1.25.) (a) Standard direct materials price per pound of raw materials. (b) (c) Standard direct materials quantity per gallon. Total standard materials cost per gallon. $ $ pounds
Melissa Company accumulates the following data concerning raw materials in making its finished product. (1) Price per pound of raw materials is net purchase price $2.70, freight-in $0.40, and receiving and handling $0.30. (2) Quantity per gallon of finished product is required materials 3.2 pounds and allowance for waste and spoilage 0.7 pounds. Compute the following. (Round answers to 2 decimal places, e.g. 1.25.) (a) Standard direct materials price per pound of raw materials. $ (b) Standard direct materials quantity per gallon. (c) Total standard materials cost per gallon. pounds $
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Epon Corporation uses a process costing system based on the weighted average method. The production supervisor calculates that the equivalent units of the physical units in ending inventory with respect to direct materials and conversion resources are 600 and 250 units respectively. Assume that the equivalent units of the physical units completed and transferred with respect to direct materials and conversion resources are 4,500 and 4,500 units respectively. If the per equivalent unit cost of direct materials and conversion resources is $2 and $1.5 respectively, (1) what is the cost of the units completed and transferred (i.e., the cost of goods manufactured) and (2) what is the cost of the units in the ending inventory
Using the weighted-average method, compute the equivalent units of production if the beginning inventory consisted of 20,000 units, 55,000 units were started in production, and 57,000 units were completed and transferred to finished goods inventory. For this process, materials are 70% complete and the Units are 30% complete with respect to conversion.
Given the following information, determine the equivalent units of ending work in process for materials and conversion under the weighted-average method: beginning inventory of 2,500 units is 100% complete with regard to materials and 60% complete with regard to conversion 18,000 units were started during the period 17,500 units were completed and transferred ending inventory is 100% complete with materials and 65% complete with conversion
Given the following information, determine the equivalent units of ending work in process for materials and conversion using the weighted-average method: Beginning inventory of 750 units is 100% complete with regard to materials and 30% complete with regard to conversion. 9,500 units were started during the period. 8,900 units were completed and transferred. Ending inventory is 100% complete with regard to materials and 68% complete with regard to conversion.
Cicleta Manufacturing has four activities: receiving materials, assembly, expediting products, and storing goods. Receiving and assembly are necessary activities; expediting and storing goods are unnecessary. The following data pertain to the four activities for the year ending 20x1 (actual price per unit of the activity driver is assumed to be equal to the standard price): Required: 1. Prepare a cost report for the year ending 20x1 that shows value-added costs, non-value-added costs, and total costs for each activity. 2. Explain why expediting products and storing goods are non-value-added activities. 3. What if receiving cost is a step-fixed cost with each step being 1,500 orders whereas assembly cost is a variable cost? What is the implication for reducing the cost of waste for each activity?
Jackson Company has the following information for the current period for the Mixing Department: Costs of beginning work-in-process: Direct materials Conversion costs Costs added during the period: Direct materials Conversion costs Equivalent units of production for: Direct materials Conversion costs $15,000 26,000 100,000 150,000 12,600 units 9,100 units Using the weighted-average method, what is the cost per equivalent unit for conversion costs? A.$ 3.25 B.$ 9.13 C.$ 19.84 D.S 19.34

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