Question
1) Suburbia Company manufactures a product through a continuous single-step process. All materials are added at the beginning of processing. Production and cost data for
1)
Suburbia Company manufactures a product through a continuous single-step process. All materials are added at the beginning of processing. Production and cost data for the company for February 2016 are as follows:
Production data: |
|
In process, beginning of month (20% converted) | 1,000 units |
Started during February | 5,000 units |
Completed and transferred to finished goods | 4,500 units |
In process, end of month (60% converted) | 1,500 units |
|
|
Manufacturing costs: |
|
Work in process, beginning (Materials $3,000; Conversion Costs: $18,360) | $21,360 |
Materials | $45,000 |
Direct labor cost | $102,960 |
Applied Factory overhead cost | $51,480 |
Required: Calculate the Following using the weighted average method:
Equivalent Units of Production for Direct materials | __________ (Do not enter commas in answer for example 5,000 should be entered as 5000) |
Equivalent Units of Production for Conversion Costs | __________ (Do not enter commas in answer for example 5,000 should be entered as 5000) |
Cost per Equivalent Unit Direct Materials | $__________ (Round to 2 decimal places) |
Cost per Equivalent Unit Conversion Costs | $__________ (Round to 2 decimal places) |
Total value of units transferred out | $__________.00 (Round to the nearest whole dollar and do not enter dollar signs or commas in answer for example $5,000 should be entered as 5000) |
Total value of Ending Inventory | $__________.00 (Round to the nearest whole dollar and do not enter dollar signs or commas in answer for example $5,000 should be entered as 5000) |
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2)
Daosta Inc. uses the FIFO method in its process costing system. The following data concern the operations of the company's first processing department for a recent month.
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|
|
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Work in process, beginning: |
|
|
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Units in process |
| 900 |
|
Percent complete with respect to materials |
| 40 | % |
Percent complete with respect to conversion costs |
| 20 | % |
Costs in the beginning inventory: |
|
|
|
Materials cost | $ | 530 |
|
Conversion cost | $ | 2108 |
|
Units started into production during the month |
| 16,000 |
|
Units completed and transferred out |
| 16,000 |
|
Costs added to production during the month: |
|
|
|
Materials cost | $ | 32,180 |
|
Conversion cost | $ | 416,512 |
|
Work in process, ending: |
|
|
|
Units in process |
| 900 |
|
Percent complete with respect to materials |
| 50 | % |
Percent complete with respect to conversion costs |
| 70 | % |
Required:
Using the FIFO method:
Equivalent Units of Production for Direct materials | __________ (Do not enter commas in answer for example 5,000 should be entered as 5000) |
Equivalent Units of Production for Conversion Costs | __________ (Do not enter commas in answer for example 5,000 should be entered as 5000) |
Cost per Equivalent Unit Direct Materials | $__________ (Round to 2 decimal places) |
Cost per Equivalent Unit Conversion Costs | $__________ (Round to 2 decimal places) |
Total value of Ending Work in Process | $__________.00 (Round to the nearest whole dollar and do not enter dollar signs or commas in answer for example $5,000 should be entered as 5000) |
Total value of units transferred out | $__________.00 (Round to the nearest whole dollar and do not enter dollar signs or commas in answer for example $5,000 should be entered as 5000) |
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