Units Conversion Work in process, beginning Units completed during the months Work in process, ending 60,000 HINT: Formulas in RED will be in units Forumlas in BLUE will percentages Formulas in GREEN will be in dollars 40% 210,000 30,000 70% Costs to account for: To find started and completed: Total Completed units - beginning inventory Started during the month - ending inventory Beginning work in process 2$ 94,800 151,200 600,300 Materials added %24 Conversion costs incurred Total costs to be accounted for FORMULA 1 Cost assignment Direct Mat. % % Added Conversio During the Conversion Beginning Equiv. Units Inventory Direct Added During Direct Mat. Equiv. Units Whole Units the Month Month Materials Total 60,000 FORMULA 5 | FORMULA 8FORMULA 12 FORMULA 1 FORMULA 19 FORMULA 2: FORMULA 2 FORMULA 6 FORMULA SFORMULA 13 FORMULA 1 FORMULA 20 FORMULA 2: FORMULA 2 FORMULA 1FORMULA 14 FORMULA 1 FORMULA 21FORMULA 24 FORMULA 2 $0 $0 Beg. Work in process Started & Completed Ending Work in proces: Total $0 150,000 30,000 FORMULA 7 240,000 $0 $0 $0 $0
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
