5th Edition

ISBN: 9780134128528

Author: Karen W. Braun, Wendy M. Tietz

Publisher: PEARSON

See similar textbooks

Videos

Textbook Question

Chapter 5, Problem 5.6SE

Compute equivalent units (process costing Step 2) (Learning Objectives 2 & 3)

The Frying Department of Ripple Chips had 110,000 partially completed units in work in process at the end of July. All of the direct materials had been added to these units, but the units were only 70% of the way through the conversion process. In addition, 1,050,000 units had been completed and transferred out of the Frying Department to the Packaging Department during the month.

1. How many equivalent units of direct materials and equivalent units of conversion costs are associated with the 1,050,000 units completed and transferred out?
2. Compute the equivalent units of direct materials and the equivalent units of conversion costs associated with the 110,000 partially completed units still in ending work in process.
3. What are the total equivalent units of direct materials and the total equivalent units of conversion costs for the month?

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Chapter 5, Problem 5.5SE

Chapter 5, Problem 5.7SE

Students have asked these similar questions

Expand upon it and add more info

JH, Inc., is a calendar year, accrual basis corporation with Joe as its sole shareholder (basis in his stock is $90,000). On January 1 of the current year, JH Corporation has accumulated E & P of $200,000. Before considering the effect of the distribution described below, the corporation’s current E & P is $50,000. On November 1, JH distributes an office building to Joe. The office building has an adjusted basis of $80,000 (fair market value of $100,000) and is subject to a mortgage of $110,000. Assume that the building has been depreciated using the ADS method for both income tax and E & P purposes. What are the tax consequences of the distribution to JH and to Joe? (In your answer, be sure to describe the effects on taxable income for both JH and Joe, the impact of the distribution on JH’s E & P, and Joe’s basis in the building.)

Joe is the sole shareholder of JH Corporation. Joe sold his stock to Ethan on October 31 for $150,000. Joe’s basis in JH stock was $50,000 at the start of the year. JH distributed land to Joe immediately before the sale. JH’s basis in the land was $20,000 (fair market value of $25,000). On December 31, Ethan received a $75,000 cash distribution from JH. During the year, JH has $20,000 of current E & P and its accumulated E & P balance on January 1 is $10,000. Which of the following statements is true? a. Joe recognizes a $110,000 gain on the sale of his stock. b. Joe recognizes a $100,000 gain on the sale of his stock. c. Ethan receives $5,000 of dividend income.d. Joe receives $20,000 of dividend income. e. None of the above.

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...

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Solution Summary: The author calculates the equivalent units of direct materials and conversion cost associated with completed and transferred units.

Videos

Want to see the full answer?

Chapter 5 Solutions