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Work in process inventory: Work in process inventory referred to inventory which is yet to be completed and are still in the production process waiting to be completed. To prepare: Journal entry . Explanation: Transfer of units from assembly department to painting department: Date Account Title and Explanation Post ref Debit ($) Credit ($) WIP inventory painting 20,700 WIP inventory assembly 20,700 (To transfer cost pertaining to goods across different departments.) WIP inventory account is a part of inventory account and is classified under current assets in the balance sheet . Being a current asset the account which is increasing after the transfer of units will be debited and the account which is reducing after the transfer of units will be credited. WIP inventory painting account where units are being transferred will be debited. Similarly, WIP inventory assembly account which is transferring the units will be credited.

Work in process inventory: Work in process inventory referred to inventory which is yet to be completed and are still in the production process waiting to be completed. To prepare: Journal entry . Explanation: Transfer of units from assembly department to painting department: Date Account Title and Explanation Post ref Debit ($) Credit ($) WIP inventory painting 20,700 WIP inventory assembly 20,700 (To transfer cost pertaining to goods across different departments.) WIP inventory account is a part of inventory account and is classified under current assets in the balance sheet . Being a current asset the account which is increasing after the transfer of units will be debited and the account which is reducing after the transfer of units will be credited. WIP inventory painting account where units are being transferred will be debited. Similarly, WIP inventory assembly account which is transferring the units will be credited.

Managerial Accounting + Connect Access Card

Managerial Accounting + Connect Access Card

7th Edition

ISBN: 9781260581263

Author: John Wild

Publisher: McGraw-Hill College

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Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.

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Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

Chapter 3, Problem 13QS

To determine

Work in process inventory:

Work in process inventory referred to inventory which is yet to be completed and are still in the production process waiting to be completed.

To prepare: Journal entry.

Explanation:

Transfer of units from assembly department to painting department:

Date Account Title and Explanation Post ref Debit ($) Credit ($)
WIP inventory painting 20,700
WIP inventory assembly 20,700
(To transfer cost pertaining to goods across different departments.)

WIP inventory account is a part of inventory account and is classified under current assets in the balance sheet.

Being a current asset the account which is increasing after the transfer of units will be debited and the account which is reducing after the transfer of units will be credited.

WIP inventory painting account where units are being transferred will be debited.

Similarly, WIP inventory assembly account which is transferring the units will be credited.

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Chapter 3, Problem 12QS

Chapter 3, Problem 14QS

Chapter 3 Solutions

Managerial Accounting + Connect Access Card

Ch. 3 - Prob. 1MCQ Ch. 3 - Prob. 2MCQ Ch. 3 - Prob. 3MCQ Ch. 3 - 4. A company’s beginning work in process in...Ch. 3 - Prob. 5MCQ Ch. 3 - What is the main factor for a company in closing...Ch. 3 - Prob. 2DQ Ch. 3 - Prob. 3DQ Ch. 3 - Prob. 4DQ Ch. 3 - Prob. 5DQ

Ch. 3 - Prob. 6DQ Ch. 3 - Prob. 7DQ Ch. 3 - Prob. 8DQ Ch. 3 - Direct labor costs Flow through what accounts in a...Ch. 3 - Prob. 10DQ Ch. 3 - Prob. 11DQ Ch. 3 - Prob. 12DQ Ch. 3 - 13. List the four steps in accounting for...Ch. 3 - 14. APPLE Companies such as Apple commonly...Ch. 3 - 15. GOOGLE Are there situations where Google can...Ch. 3 - Prob. 16DQ Ch. 3 - Prob. 17DQ Ch. 3 - Prob. 18DQ Ch. 3 - Prob. 19DQ Ch. 3 - Process vs. job order operations C1 For each of...Ch. 3 - Prob. 2QS Ch. 3 - Prob. 3QS Ch. 3 - Physical flow reconciliation C2 The following...Ch. 3 - Prob. 5QS Ch. 3 - Prob. 6QS Ch. 3 - Prob. 7QS Ch. 3 - Prob. 8QS Ch. 3 - Prob. 9QS Ch. 3 - Prob. 10QS Ch. 3 - Prob. 11QS Ch. 3 - Prob. 12QS Ch. 3 - Prob. 13QS Ch. 3 - Prob. 14QS Ch. 3 - Prob. 15QS Ch. 3 - Prob. 16QS Ch. 3 - Prob. 17QS Ch. 3 - Prob. 18QS Ch. 3 - Prob. 19QS Ch. 3 - Prob. 20QS Ch. 3 - Prob. 21QS Ch. 3 - Prob. 22QS Ch. 3 - Prob. 23QS Ch. 3 - Prob. 24QS Ch. 3 - Prob. 25QS Ch. 3 - Prob. 26QS Ch. 3 - Prob. 1E Ch. 3 - Prob. 2E Ch. 3 - Prob. 3E Ch. 3 - Prob. 4E Ch. 3 - Prob. 5E Ch. 3 - Prob. 6E Ch. 3 - Prob. 7E Ch. 3 - Prob. 8E Ch. 3 - Prob. 9E Ch. 3 - Prob. 10E Ch. 3 - Prob. 11E Ch. 3 - Prob. 12E Ch. 3 - Exercise 16-13AFIFO: Completing a process cost...Ch. 3 - Prob. 14E Ch. 3 - Prob. 15E Ch. 3 - Exercise 16-16 Weighted average: Process cost...Ch. 3 - Prob. 17E Ch. 3 - Prob. 18E Ch. 3 - Prob. 19E Ch. 3 - Prob. 20E Ch. 3 - Prob. 21E Ch. 3 - Prob. 22E Ch. 3 - Prob. 23E Ch. 3 - Prob. 24E Ch. 3 - Prob. 25E Ch. 3 - Prob. 26E Ch. 3 - Prob. 1PSA Ch. 3 - Prob. 2PSA Ch. 3 - Prob. 3PSA Ch. 3 - Prob. 4PSA Ch. 3 - Problem 16-5AA FIFO: Process cost summary;...Ch. 3 - Prob. 6PSA Ch. 3 - Prob. 7PSA Ch. 3 - Prob. 1PSB Ch. 3 - Prob. 2PSB Ch. 3 - Prob. 3PSB Ch. 3 - Problem 16-4B Weighted average: Process cost...Ch. 3 - Problem 16-5BA FIFO: Process cost summary;...Ch. 3 - Prob. 6PSB Ch. 3 - Prob. 7PSB Ch. 3 - Prob. 3SP Ch. 3 - Prob. 3CP Ch. 3 - Prob. 1GLP Ch. 3 - Prob. 1AA Ch. 3 - Prob. 2AA Ch. 3 - Prob. 3AA Ch. 3 - Prob. 1BTN Ch. 3 - Prob. 2BTN Ch. 3 - Prob. 3BTN Ch. 3 - Prob. 4BTN Ch. 3 - Prob. 5BTN Ch. 3 - Prob. 6BTN

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