Problem related to Accounting The Jay Company had 20,000 units in process on December 31,2021 which was 80% complete as to materials but only 40%complete as to conversion costs. The company's records show40,000 units were transferred to the Finished Goods Inventoryduring January 2022. On January 31, 2022, 15,000 units wereon hand which were 30% complete as to conversion costs and60% complete as to materials. What are the equivalent units ofproduction for the conversion costs in January, assuming Jayuses first-in, first-out (FIFO)?

Concept of Beginning Work-in-Process (WIP):Beginning WIP refers to the inventory of partially…

Answered: The Jay Company had 20,000 units in…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 8EB: A production department within a company received materials of $7,000 and conversion costs of $5,000...

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The cost of direct materials transferred into the Rolling Department of Kraus Company is 3,000,000. The conversion cost for the period in the Rolling Department is 462,600. The total equivalent units for direct materials and conversion are 4,000 tons and 3,855 tons, respectively. Determine the direct materials and conversion costs per equivalent unit.
The Morning Star Company had 25,000 units in process on December 31, 2019 which was 80% complete as to materials but only 40% complete as to conversion costs. The company's records show 45,000 units were transferred to the Finished Goods Inventory during January 2020. On January 31, 2017, 17,000 units were on hand which were 30% complete as to conversion costs and 60% complete as to materials. What are the equivalent units of production for the conversion costs in January, assuming Morning Star uses first-in, first-out (FIFO)?
First In First Out
"Gardenia Company uses the weighted-average method. It had P8,000 of conversion cost in the beginning Work in Process Inventory ånd added P64,000 of conversion cost during 2019. The company completed 40,000 equivalent units for conversion costs during the year. The company had 10,000 units in the ending Work in Process Inventory that were 30% complete as to conversion. 25. The amount of conversion cost assigned to the unit in process. a. P12,600 b. P 5,400 c. P11,200 d. P 4,800
Company had 20,000 units
ABC company had the following transactions and events đuring the year ended 31 March 2022. The company uses direct lahor dollars as the allocation base. For the current yeur, the estimated overhead was $777,000 and estimated direct labor cost was $350,000. Actual costs incurred follows: a. Purchased raw materials on account, $567,000. b. 10% of raw materials purchased was requisitioned as indirect materials. c. Direct labor for production is $320,000, indirect labor is $125,000. d. Some costs for the company and their percentage for factory are shown below, with the remaining percentage for administration costs. Other costs for Total $ Percentage spent in factory the company Property tax 100,000 90% Utilities 90,000 89% Depreciation 150,000 75% Insurance 180,000 80% | Cleaning service fee 85,000 70% |Maintenance fee 50,000 90% The bulances of inventory follow: Beginning Ending Raw materials $8,000 $25,010 Work-in-process Finished goods 7,500 572,650 25,010 487,810 Required: d) Prepare…
The following are information provided for Norman Company for the month of August 2019 (refer to the attached picture): Raw materials purchased during the period costs P40,800; overhead incurred and paid or accrued for the period was P21,750; and 23,600 direct labor hours were incurred at a rate of P13.75 per hour. inventories beginning ending raw materials 9900 7600 work in process 44500 31800 finished goods 36580 61300 1. conversion cost 3. total manufacturing cost 4. cost of goods put into process 5. cost of goods manufactured 6. cost of goods sold
Sandhill Company manufactures its product, Vitadrink, through two manufacturing processes: Mixing and Packaging. All materials are entered at the beginning of each process. On October 1, 2022, inventories consisted of Raw Materials $31,200, Work in Process- Mixing $0, Work in Process-Packaging $300,000, and Finished Goods $346,800. The beginning inventory for Packaging consisted of 12,000 units that were 50% complete as to conversion costs and fully complete as to materials. During October, 60,000 units were started into production in the Mixing Department and the following transactions were completed. 1. Purchased $360,000 of raw materials on account. 2. Issued direct materials for production: Mixing $252,000 and Packaging $54,000. 3. Incurred labor costs of $334,680. (Use Wages Payable.) 4. Used factory labor: Mixing $219,000 and Packaging $115,680. 5. Incurred $972,000 of manufacturing overhead on account. 6. Applied manufacturing overhead on the basis of $23 per machine hour.…
Blossom Company manufactures its product, Vitadrink, through two manufacturing processes: Mixing and Packaging. All materials are entered at the beginning of each process. On October 1, 2025, inventories consisted of Raw Materials $26,520, Work in Process- Mixing $0, Work in Process-Packaging $255,000, and Finished Goods $294,780. The beginning inventory for Packaging consisted of 10,200 units that were 50% complete as to conversion costs and fully complete as to materials. During October, 51,000 units were started into production in the Mixing Department and the following transactions were completed. 1. 2. 3. 4. 5. 6. 7. 8. 9. Purchased $306,000 of raw materials on account. Issued direct materials for production: Mixing $214,200 and Packaging $45,900. Incurred labor costs of $284,478. (Use Wages Payable.) Used factory labor: Mixing $186,150 and Packaging $98,328. Incurred $826,200 of manufacturing overhead on account. Applied manufacturing overhead on the basis of $23 per machine…
DriveTrain, Incorporated instituted a new process in October 2023. During October, 10,800 units were started in Department A. Of the units started, 8,200 were transferred to Department B, and 2,600 remained in Work-in-Process at October 31, 2023. The Work-in-Process at October 31, 2023, was 100% complete as to material costs and 50% complete as to conversion costs. Material costs of $29,160 and conversion costs of $38,000 were charged to Department A in October. What were the total costs transferred to Department B assuming Department A uses weighted-average process costing?
A Ltd had at the beginning of 2019 a work in progress of 5,000 units. During 2019, 65,000 additional units were started into production. Ending work in progress on 31st December, 2019, was 12,000 units. The beginning work in progress was 100% complete as to direct materials and 50% complete as to conversion costs. The ending work in progress was 100% complete as to direct materials and 80% complete as to conversion costs. Total direct materials put into work in progress cost £77,500. Total conversion costs put into process costs were £105,375. Beginning work in progress cost £33,500, of which £20,250 was for materials and £13,250 for conversion. All materials are added at the start of the production process, and conversion costs are incurred uniformly throughout manufacturing. A Ltd uses a weighted-average process cost system. What is the total cost assigned to A Ltd’s ending work in progress inventory at the end of 2019? 1. £33,100 2. £33,619 3. £37,357 4. £31,875
Whilewells Ltd had at the beginning of 2019 a work in progress of 5,000 units. During 2019, 65,000 additional units were started into production. Ending work in progress on 31st December, 2019, was 12,000 units. The beginning work in progress was 100% complete as to direct materials and 50% complete as to conversion costs. The ending work in progress was 100% complete as to direct materials and 80% complete as to conversion costs. Total direct materials put into work in progress cost £77,500. Total conversion costs put into process costs were £105,375. Beginning work in progress cost £33,500, of which £20,250 was for materials and £13,250 for conversion. All materials are added at the start of the production process, and conversion costs are incurred uniformly throughout manufacturing. Whilewells Ltd uses a weighted-average process cost system. What is the total cost assigned to Whilewells Ltd’s ending work in progress inventory at the end of 2019? a. £33,619 b. £33,100…

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