W Company uses process in its two producing departments. On April 1, Department B had no units in beg. Inventory. During April 27,000 units were transferred from Dept A to Department B. On April 30, Department B had 6,000 units of work in process, 60% complete a factory overhead. During the month, 21,000 units were transferred from dept B to Finished Goods Inventory. Materials are added in the beginning of the process in Dept B.

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ISBN:9781259964947
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Chapter1: Financial Statements And Business Decisions
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W Company uses process in its two producing departments. On April 1, Department B had no units in
beg. Inventory. During April 27,000 units were transferred from Dept A to Department B. On April 30,
Department B had 6,000 units of work in process, 60% complete as to labor and 60% complete as to
factory overhead. During the month, 21,000 units were transferred from dept B to Finished Goods
Inventory. Materials are added in the beginning of the process in Dept B.
The following journal entries summarize April Activity:
Work in Process- Dept A
225,000.00
Work in Process- Dept B
175,000.00
Materials
400,000.00
Work in Process- Dept A
108,000.00
Work in Process- Dept B
132,000.00
Payroll
240,000.00
Work in Process- Dept A
146,000.00
Work in Process- Dept B
144,000.00
Applied factory overhead
290,000.00
Work in Process- Dept B
500,000.00
Work in Process- Dept A
500,000.00
4. Cost of In Process Inventory
A. 760,609.76
B. 951,000
C. 190,30.24
D. 653,913.04
Transcribed Image Text:W Company uses process in its two producing departments. On April 1, Department B had no units in beg. Inventory. During April 27,000 units were transferred from Dept A to Department B. On April 30, Department B had 6,000 units of work in process, 60% complete as to labor and 60% complete as to factory overhead. During the month, 21,000 units were transferred from dept B to Finished Goods Inventory. Materials are added in the beginning of the process in Dept B. The following journal entries summarize April Activity: Work in Process- Dept A 225,000.00 Work in Process- Dept B 175,000.00 Materials 400,000.00 Work in Process- Dept A 108,000.00 Work in Process- Dept B 132,000.00 Payroll 240,000.00 Work in Process- Dept A 146,000.00 Work in Process- Dept B 144,000.00 Applied factory overhead 290,000.00 Work in Process- Dept B 500,000.00 Work in Process- Dept A 500,000.00 4. Cost of In Process Inventory A. 760,609.76 B. 951,000 C. 190,30.24 D. 653,913.04
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