The following information is available for Department Z for the month of July: Line Item Description Units
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Question:
The following information is available for Department Z for the month of July:
Line Item Description | Units | Cost |
---|---|---|
Work in process, July 1 (70% complete) | 2,000 | |
Direct materials | $ 6,000 | |
Direct labor | 3,000 | |
Manufacturing overhead | 4,000 | |
Total work in process, July 1 | $13,000 | |
Started in July | 20,000 | |
Costs added: | ||
Direct materials | $18,000 | |
Direct labor | 8,000 | |
Manufacturing overhead | 10,000 | |
Total costs added during July | $36,000 | |
Work in process, July 31 (7.5% complete) | 2,000 |
Materials are added at the beginning of the process. Using the FIFO method, Department Z's cost of ending work in process would be:
Related Book For
Fundamentals of Cost Accounting
ISBN: 978-0077398194
3rd Edition
Authors: William Lanen, Shannon Anderson, Michael Maher
Posted Date: