Process costs It is a method of cost accounting, which is used where the production is continuous, and the product needs various processes to complete. This method is used to ascertain the cost of the product at each process or stage of production. Equivalents units for production The activity of a processing department in terms of fully completed units is known as equivalent units. It includes the completed units of direct materials and conversion cost of beginning work in process, units completed and transferred out, and ending work in process. To Calculate: The equivalent cost per unit of energy for the month of June.

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Chapter 18, Problem 18.8APE

To determine

Process costs

It is a method of cost accounting, which is used where the production is continuous, and the product needs various processes to complete. This method is used to ascertain the cost of the product at each process or stage of production.

Equivalents units for production

The activity of a processing department in terms of fully completed units is known as equivalent units. It includes the completed units of direct materials and conversion cost of beginning work in process, units completed and transferred out, and ending work in process.

To Calculate: The equivalent cost per unit of energy for the month of June.

To determine

To Calculate: The equivalent cost per unit of energy for the month of July.

To determine

To Evaluate: The changes in cost of energy between June and July.

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Using Process Costs For Decision Making The costs of energy consumed in producing good units in the Baking Department of Pan Company were $31,552 and $33,792 for June and July, respectively. The number of equivalent units produced in June and July was 46,400 pounds, and 52,800 pounds, respectively. Evaluate the change in the cost of energy between the two months. Round all answers to the nearest whole cent.

Using Process Costs For Decision Making The costs of energy consumed in producing good units in the Baking Department of Victor Company were $26,160 and $26,265 for June and July, respectively. The number of equivalent units produced in June and July was 54,500 pounds and 51,500 pounds, respectively. Evaluate the change in the cost of energy between the two months. Round all answers to the nearest cent. Energy cost per pound, June $ Energy cost per pound, July $ The cost of energy has appeared to by $ per pound between June and July.

The costs of energy consumed in producing good units in the Baking Department of Victor Company were $26,160 and $26,265 for June and July, respectively. The number of equivalent units produced in June and July was 54,500 pounds and 51,500 pounds, respectively. Evaluate the change in the cost of energy between the two months. Round all answers to the nearest cent. Energy cost per pound, June $fill in the blank 1 Energy cost per pound, July $fill in the blank 2 The cost of energy has appeared to decrease by $fill in the blank 4 per pound between June and July.