Fundamentals Of Cost Accounting (6th Edition)
6th Edition
ISBN: 9781259969478
Author: WILLIAM LANEN, Shannon Anderson, Michael Maher
Publisher: McGraw Hill Education
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Textbook Question
Chapter 8, Problem 19E
Compute Equivalent Units: FIFO Method
Refer to the data in Exercise 8-18. Assume that beginning inventory is 50 percent complete with respect to materials and 30 percent complete with respect to conversion costs.
Required
- a. Compute the equivalent units for materials using FIFO.
- b. Compute the equivalent units for conversion costs using FIFO.
8-18 Compute Equivalent Units: Weighted-Average Method
- Conlon Chemicals manufactures paint thinner. Information on the work in process follows:
- Beginning inventory, 30,000 partially complete gallons.
- Transferred out, 157,500 gallons.
- Ending inventory (materials are 10 percent complete; conversion costs are 20 percent complete).
- Started this month, 180,000 gallons.
Required
- a. Compute the equivalent units for materials using the weighted-average method.
- b. Compute the equivalent units for conversion costs using the weighted-average method.
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Students have asked these similar questions
C) what's is the cost per equivalent unit for materials ? ( round your answer to 2 decimal places.)
D) what is the cost equivalent unit for conversion? (Round your answer to 2 decimal places.)
E) what is the cost of units transferred out? (Round your cost per equivalent unit to 2 decimal places.)
Using the following terms, prepare the worksheet to show the calculation to answer the question:
Units completed and transferred out
Cost per material
Cost per conversion
Equivalent units conversion
Beginning inventory
Units started in production
Total units to account for
Total work in process
Ending inventory
Units transferred in
Total units accounted for
Costs to account for
Question: Given the following information, determine the equivalent units of ending work in process for materials and conversion under the weighted-average method:
beginning inventory of 2.500 units is 100% complete with regard to materials and 60% complete with regard to conversion
• 18,000 units were started during the period
• 17,500 units were completed and transferred
· ending inventory is 100% complete with materials and 65% complete with conversion
PLEASE NOTE: For units, use commas as needed (i.e. 1,234).
Units to Account For:
Units
Units Accounted For:
Total Units
Material Units
Conversion Units
A) what is the equivalent units of production for materials?
B) what is the equivalent units of production for conversion ?
Chapter 8 Solutions
Fundamentals Of Cost Accounting (6th Edition)
Ch. 8 - What are the characteristics of industries most...Ch. 8 - A manufacturing company has records of its...Ch. 8 - If costs increase from one period to another, will...Ch. 8 - What are the five steps to follow when computing...Ch. 8 - What is the distinction between equivalent units...Ch. 8 - Which method, weighted-average or FIFO, better...Ch. 8 - It has been said that a prior departments costs...Ch. 8 - The more important individual unit costs are for...Ch. 8 - Assume that the number of units transferred out of...Ch. 8 - The management of a liquid cleaning product...
Ch. 8 - We have discussed two methods for process costing,...Ch. 8 - A friend owns and operates a consulting firm that...Ch. 8 - The controller of a local firm that uses a...Ch. 8 - Throughout the chapter, we treated conversion...Ch. 8 - Consider a manufacturing firm with multiple...Ch. 8 - Prob. 16CADQCh. 8 - Would process costing work well for a service...Ch. 8 - Compute Equivalent Units: Weighted-Average Method...Ch. 8 - Compute Equivalent Units: FIFO Method Refer to the...Ch. 8 - Compute Equivalent Units: Weighted-Average Method...Ch. 8 - Compute Equivalent Units: FIFO Method Refer to the...Ch. 8 - Compute Equivalent Units Magic Company adds...Ch. 8 - Equivalent Units: Weighted-Average Process Costing...Ch. 8 - Prob. 24ECh. 8 - Prob. 25ECh. 8 - Compute Equivalent Units: Ethical Issues Aaron...Ch. 8 - Equivalent Units and Cost of Production By...Ch. 8 - Compute Costs per Equivalent Unit:...Ch. 8 - Compute the cost per equivalent unit for materials...Ch. 8 - Compute Equivalent Units: FIFO Method Materials...Ch. 8 - Compute Equivalent Units and Cost per Equivalent...Ch. 8 - Cost Per Equivalent Unit: Weighted-Average Method...Ch. 8 - Compute Costs per Equivalent Unit:...Ch. 8 - Refer to the data in Exercise 8–33. Compute the...Ch. 8 - Using the data in Exercise 8-33, compute the cost...Ch. 8 - Refer to the data in Exercises 8-33 and 8-35....Ch. 8 - Compute Costs per Equivalent Unit:...Ch. 8 - Refer to the data in Exercise 8-37. Compute the...Ch. 8 - Refer to the data in Exercise 8-37. Compute the...Ch. 8 - Prob. 40ECh. 8 - Prepare a Production Cost Report: FIFO Method...Ch. 8 - Prob. 42ECh. 8 - Prepare a Production Cost Report: Weighted-Average...Ch. 8 - Prob. 44ECh. 8 - Cost of Production: Weighted-Average and FIFO...Ch. 8 - Operation Costing: Ethical Issues Brokia...Ch. 8 - Prob. 47ECh. 8 - Prob. 48ECh. 8 - Prob. 49ECh. 8 - Suppose the marketing manager’s suggestion is...Ch. 8 - Prob. 51PCh. 8 - Prob. 52PCh. 8 - Prob. 53PCh. 8 - Prob. 54PCh. 8 - Prepare a production cost report for June for the...Ch. 8 - Prob. 56PCh. 8 - Prob. 57PCh. 8 - Prob. 58PCh. 8 - Prob. 59PCh. 8 - Prob. 60PCh. 8 - Prob. 61PCh. 8 - Prob. 62PCh. 8 - Prob. 63PCh. 8 - Prob. 64PCh. 8 - Prob. 65PCh. 8 - Prob. 66PCh. 8 - Prob. 67PCh. 8 - Process Costing and Ethics: Increasing Production...
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