#1. (11 Marks) Bubba's Dept A uses a process-costing system (Weighted Avg Method). Direct materials are added at the beginning of the process. Consider the following data: Units 9,000 10,000 D.M ($) $250,000 Conv ($) $50,000 WIP (Beg) Spoiled Units Goods Completed and Transferred Out Started in Mth WIP (End) Costs Added in Mth 60,000 71,000 10,000 $2,000,000 $1,000,000 Degree of Completion: Opening WIP 100.00% 100.00% DM; DM; 25.00% 75.00% Conv Conv Ending WIP Normal Spoilage: 10.00% of Good Units Transferred; Inspection occurs when product completed REQUIRED a) Determine the # normal and abnormal spoilage (physical units) produced in period b) Compute the equivalent # of units for the current period c) Calculate costs per Equivalent Unit 2. (6 Marks) Tron Industries produces electronic equipment and uses backflush costing. There are no beginning inventories of raw materials or finished goods. See below for the following data related to the month: Direct Materials Purchased Direct Materials Used Conversion Costs incurred Conversion Costs Allocated Standard DM per Unit Standard Conv per Unit Units Sold in Period $500,000.00 $498,000.00 $734,500.00 $720,000.00 $66.40 $96.00 6,250 REQUIRED a) Purchase of raw materials journal entry b) Incur conversion costs journal entry c) Completion of finished goods journal entry d) Sale of finished goods journal entry (COGS entry only) e) Record the over/under allocation of conversion costs journal entry Calculate the # of unsold finished goods (physical quantity) #1. (11 Marks) Bubba's Dept A uses a process-costing system (Weighted Avg Method). Direct materials are added at the beginning of the process. Consider the following data: Units 9,000 10,000 D.M ($) $250,000 Conv ($) $50,000 WIP (Beg) Spoiled Units Goods Completed and Transferred Out Started in Mth WIP (End) Costs Added in Mth 60,000 71,000 10,000 $2,000,000 $1,000,000 Degree of Completion: Opening WIP 100.00% 100.00% DM; DM; 25.00% 75.00% Conv Conv Ending WIP Normal Spoilage: 10.00% of Good Units Transferred; Inspection occurs when product completed REQUIRED a) Determine the # normal and abnormal spoilage (physical units) produced in period b) Compute the equivalent # of units for the current period c) Calculate costs per Equivalent Unit 2. (6 Marks) Tron Industries produces electronic equipment and uses backflush costing. There are no beginning inventories of raw materials or finished goods. See below for the following data related to the month: Direct Materials Purchased Direct Materials Used Conversion Costs incurred Conversion Costs Allocated Standard DM per Unit Standard Conv per Unit Units Sold in Period $500,000.00 $498,000.00 $734,500.00 $720,000.00 $66.40 $96.00 6,250 REQUIRED a) Purchase of raw materials journal entry b) Incur conversion costs journal entry c) Completion of finished goods journal entry d) Sale of finished goods journal entry (COGS entry only) e) Record the over/under allocation of conversion costs journal entry Calculate the # of unsold finished goods (physical quantity)