1. Explanation Given: Total beginning units in the process is 9,000 liter. Total units transferred-in the process is 147,000 liter. Total units in ending inventory is 22,000 liter. Total units completed and transferred is 147,000 liter. Work done on completed and transferred unit is 100%. Work done on ending inventory is 80% on the way. Transferred unit costs in beginning inventory is $4,100. Direct materials in beginning inventory is $0. Conversion costs in beginning inventory is $2,675. Total cost of beginning inventory is $6,775. Transferred in units added in the process is $148,000. Direct materials added in the process is $30,870. Conversion costs added in the process is $60,291. Work done on completed and transferred unit is 100%. Work done on ending inventory is 100% in respect of transfer in costs, 100% in respect of direct materials, and 80% in respect of conversion costs. Total transferred-in cost is sum of beginning cost plus transfrred-in cost during the process that is $152,100. Total direct materials cost is sum of beginning cost plus introduced during the process that is $30,870. Total conversion costs is sum of beginning cost plus introduced during the process that is $62,966. Total accountable cost for the process is sum of all the costs that is $245,936. Working note: Computation of equivalent unit for transferred-in units in completed and transferred units: Equivalent units = Number of units × Percentage of completion = 147,000 × 100% = 147,000 (1) Computation of equivalent unit for transferred-in units in ending inventory: Equivalent units = Number of units × Percentage of completion = 22,000 × 100% = 22,000 (2) Computation of total equivalent units for transferred-in units: Equivalent units = Equivalent units in completed unit + Equivalent units in ending inventory = 147,000 (1) + 22,000 (2) = 169,000 (3) Total equivalent units for transferred in units are 169,000. Computation of equivalent unit for direct materials in completed and transferred units: Equivalent units = Number of units × Percentage of completion = 147,000 × 100% = 147,000 (4) Computation of equivalent unit for direct materials in ending inventory units: Equivalent units = Number of units × Percentage of completion = 22,000 × 100% = 22,000 (5) Computation of total equivalent units for direct materials: Equivalent units = Equivalent units in completed unit + Equivalent units in ending inventory = 147,000 (4) + 22,000 (5) = 169,000 (6) Equivalent units for direct materials are 169,000 2. To determine Posting of journal entries in Bottling Department. To find: Ending balance in inventory.

5th Edition

ISBN: 9780134128528

Author: Karen W. Braun, Wendy M. Tietz

Publisher: PEARSON

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Chapter 5, Problem 5.21SE

To determine

To record: Journal entry in Bottling Department for transfer of finished goods.

To determine

Posting of journal entries in Bottling Department.

To find: Ending balance in inventory.

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Chapter 5, Problem 5.20SE

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Chapter 5 Solutions

Managerial Accounting (5th Edition)

Ch. 5 - (Learning Objective 1) Which of the following is...Ch. 5 - (Learning Objective 2) Conversion costs consist of...Ch. 5 - (Learning Objective 2) Which of the following is...Ch. 5 - (Learning Objective 3) Which of the following is...Ch. 5 - Prob. 5QC Ch. 5 - (Learning Objective 4) The journal entry needed to...Ch. 5 - (Learning Objective 4) A company has two...Ch. 5 - Prob. 8QC Ch. 5 - Prob. 9QC Ch. 5 - Prob. 10QC

Ch. 5 - Compare job costing and process costing (Learning...Ch. 5 - Prob. 5.2SE Ch. 5 - Prob. 5.3SE Ch. 5 - Determine the physical flow of units (process...Ch. 5 - Compute equivalent units (process costing Step 2)...Ch. 5 - Compute equivalent units (process costing Step 2)...Ch. 5 - Summarize total costs to account for (process...Ch. 5 - Prob. 5.8SE Ch. 5 - Prob. 5.9SE Ch. 5 - Prob. 5.10SE Ch. 5 - Prob. 5.11SE Ch. 5 - Prob. 5.12SE Ch. 5 - Prob. 5.13SE Ch. 5 - Prob. 5.14SE Ch. 5 - Prob. 5.15SE Ch. 5 - Prob. 5.16SE Ch. 5 - Continuation of S5-16: Record journal entry and...Ch. 5 - Compute equivalent units in second department...Ch. 5 - Prob. 5.19SE Ch. 5 - Prob. 5.20SE Ch. 5 - Prob. 5.21SE Ch. 5 - Prob. 5.22SE Ch. 5 - Analyze flow of costs through inventory T-accounts...Ch. 5 - Summarize physical units and compute equivalent...Ch. 5 - Prob. 5.25AE Ch. 5 - Prob. 5.26AE Ch. 5 - Continuation of E5-26A: Journal entries (Learning...Ch. 5 - Complete the production cost report in first...Ch. 5 - Prob. 5.29AE Ch. 5 - Analyze costs and gross profit in a process...Ch. 5 - Prob. 5.31AE Ch. 5 - Compute equivalent units and assign costs...Ch. 5 - Complete five-step procedure in first department...Ch. 5 - Sustainability and process costing (Learning...Ch. 5 - Complete five-step procedure and journalize result...Ch. 5 - Complete five-step procedure in second department...Ch. 5 - Exercises Group B E5-37B Analyze flow of costs...Ch. 5 - Summarize physical units and compute equivalent...Ch. 5 - Prob. 5.39BE Ch. 5 - Complete five-step procedure in first department...Ch. 5 - Prob. 5.41BE Ch. 5 - Prob. 5.42BE Ch. 5 - Prob. 5.43BE Ch. 5 - Prob. 5.44BE Ch. 5 - Record journal entries (Learning Objective 4)...Ch. 5 - Compute equivalent units and assign costs...Ch. 5 - Prob. 5.47BE Ch. 5 - Sustainability and process costing (Learning...Ch. 5 - Complete five-step procedure and journalize result...Ch. 5 - Complete five-step procedure in second department...Ch. 5 - Process costing in a single processing department...Ch. 5 - Process costing in a first department (Learning...Ch. 5 - Prob. 5.53AP Ch. 5 - Prepare a production cost report and journal...Ch. 5 - Prob. 5.55AP Ch. 5 - Process costing in a single processing department...Ch. 5 - Process costing in a first department (Learning...Ch. 5 - Prob. 5.58BP Ch. 5 - Prepare a production cost report and journal...Ch. 5 - Prob. 5.60BP Ch. 5 - Prob. 5.61SC Ch. 5 - Discussion Questions 1. What characteristics of...Ch. 5 - Prob. 5.63ACT Ch. 5 - Prob. 5.64ACT Ch. 5 - Process costing and hybrid costing issues...

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To record: Journal entry in Bottling Department for transfer of finished goods.

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To record: Journal entry in Bottling Department for transfer of finished goods.

Posting of journal entries in Bottling Department. To find: Ending balance in inventory.

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Chapter 5 Solutions

Posting of journal entries in Bottling Department.

To find: Ending balance in inventory.