The following information pertain to questions 7 and 8: The Idol Company makes a water-treatment chemical in a single processing department. Direct materials are added at the start of the process. Idol uses the weighted-average method of process costing. The following information for July 2006 is available. Equivalent Units Physical Units Direct Materials Conversion Costs Work in process, July 1 10, 000* 10, 000 7, 000 Started during July Completed and transferred out during July 34, 000 40, 000 34, 000 34, 000 Work in process, July 31 16, 000 16, 000 8, 000 *Degree of completion: direct materials, 100%; conversion costs, 70%. Degree of completion: direct materials, 100% conversion costs, 50%. Total Costs for July 2006 Work in process, beginning Direct materials Conversion costs Direct materials added during July Conversion costs added during July Total costs to account for P60, 000 70, 000 P130, 000 280, 000 371, 000 P781, 000 7. The cost per equivalent unit for direct material is a. P5.00 b. P7.50 с. P6.80 d. P5.20 8. The cost per equivalent unit for conversion costs is a. P9.00 b. P11.25 C. P10.50 d. P7.50 9. Consider the following data for the Refrigerator Assembly Division for Homeplus: Physical Units (Refrigerator) Direct Materials Conversion Costs Beginning work in process, May 1° 8 P 4, 933, 600 910, 000 Started in May 2006 Completed during May 2006 Ending work in process, May 31 Cost added during May 2006 50 46 12 Р32, 200, 000 P13, 920, 000 * Degree of completion: direct materials. 90%; conversion costs, 40%. Degree of completion: direct materials, 60%; conversion costs, 30%. What is the equivalent units for direct materials? a. 46 b. 53.2 C. 48.2 d. 50
The following information pertain to questions 7 and 8: The Idol Company makes a water-treatment chemical in a single processing department. Direct materials are added at the start of the process. Idol uses the weighted-average method of process costing. The following information for July 2006 is available. Equivalent Units Physical Units Direct Materials Conversion Costs Work in process, July 1 10, 000* 10, 000 7, 000 Started during July Completed and transferred out during July 34, 000 40, 000 34, 000 34, 000 Work in process, July 31 16, 000 16, 000 8, 000 *Degree of completion: direct materials, 100%; conversion costs, 70%. Degree of completion: direct materials, 100% conversion costs, 50%. Total Costs for July 2006 Work in process, beginning Direct materials Conversion costs Direct materials added during July Conversion costs added during July Total costs to account for P60, 000 70, 000 P130, 000 280, 000 371, 000 P781, 000 7. The cost per equivalent unit for direct material is a. P5.00 b. P7.50 с. P6.80 d. P5.20 8. The cost per equivalent unit for conversion costs is a. P9.00 b. P11.25 C. P10.50 d. P7.50 9. Consider the following data for the Refrigerator Assembly Division for Homeplus: Physical Units (Refrigerator) Direct Materials Conversion Costs Beginning work in process, May 1° 8 P 4, 933, 600 910, 000 Started in May 2006 Completed during May 2006 Ending work in process, May 31 Cost added during May 2006 50 46 12 Р32, 200, 000 P13, 920, 000 * Degree of completion: direct materials. 90%; conversion costs, 40%. Degree of completion: direct materials, 60%; conversion costs, 30%. What is the equivalent units for direct materials? a. 46 b. 53.2 C. 48.2 d. 50
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please help me get the correct solutions for no. 7, 8 and 9. Thank you
Transcribed Image Text:The following information pertain to questions 7 and 8:
The Idol Company makes a water-treatment chemical in a single processing department.
Direct materials are added at the start of the process. Idol uses the weighted-average method
of process costing. The following information for July 2006 is available.
Equivalent Units
Physical Units
Direct Materials
Conversion Costs
Work in process, July 1
10, 000"
10, 000
7, 000
Started during July
Completed and transferred out during July 34, 000
40, 000
34, 000
34, 000
Work in process, July 31
16, 000
16, 000
8, 000
* Degree of completion: direct materials, 100%; conversion costs, 70%.
Degree of completion: direct materials, 100% conversion costs, 50%.
Total Costs for July 2006
Work in process, beginning
Direct materials
Conversion costs
Direct materials added during July
Conversion costs added during July
Total costs to account for
P60, 000
_70, 000
P130, 000
280, 000
371, 000
P781, 000
7.
The cost per equivalent unit for direct material is
a.
P5.00
b.
P7.50
с.
Р6.80
d.
P5.20
8.
The cost per equivalent unit for conversion costs is
а.
P9.00
b.
P11.25
с.
P10.50
d.
P7.50
9. Consider the following data for the Refrigerator Assembly Division for Homeplus:
Physical Units (Refrigerator) Direct Materials
Conversion Costs
Р 4, 933, 600
Beginning work in process, May 1º
P 910, 000
Started in May 2006
Completed during May 2006
Ending work in process, May 31
Cost added during May 2006
8
50
46
12
P32, 200, 000
P13, 920, 000
* Degree of completion: direct materials. 90%; conversion costs, 40%.
* Degree of completion: direct materials, 60%; conversion costs, 30%.
What is the equivalent units for direct materials?
a.
46
b.
53.2
с.
48.2
d.
50
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