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10. Net realizable value at split-off is used to allocate separable costs. pied by Part IlI, PROBLEM SOLVING A toy manufacturer has two departments, forming

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10. Net realizable value at split-off is used to allocate separable costs. pied by Part IlI, PROBLEM SOLVING A toy manufacturer has two departments, forming and finishing. Consider the finishing department, which processes the formed toys through the addition of hand shaping and metal.All additional materials in this department are added at the end of the process. The following is a summary of the operations in the finishing department. Units Work in process, beg Units transferred in Work in process, end -5,000 units, 60% completed for conversion costs 20,000 -4,000 units, 30% completed for conversion costs urs u Costs r the Work in process, beg (transferred-in costs, P 17,750, conversion costs, P7,250) Transferred-in costs from forming department Direct materials Conversion costs P 104,000 23,100 38,400 as Required: Using average method, compute for the following 1. Equivalent production materials. Labor and overhead 2. Costs of units completed and transferred 3. Costs of units in process, end 10. Net realizable value at split-off is used to allocate separable costs. pied by Part IlI, PROBLEM SOLVING A toy manufacturer has two departments, forming and finishing. Consider the finishing department, which processes the formed toys through the addition of hand shaping and metal.All additional materials in this department are added at the end of the process. The following is a summary of the operations in the finishing department. Units Work in process, beg Units transferred in Work in process, end -5,000 units, 60% completed for conversion costs 20,000 -4,000 units, 30% completed for conversion costs urs u Costs r the Work in process, beg (transferred-in costs, P 17,750, conversion costs, P7,250) Transferred-in costs from forming department Direct materials Conversion costs P 104,000 23,100 38,400 as Required: Using average method, compute for the following 1. Equivalent production materials. Labor and overhead 2. Costs of units completed and transferred 3. Costs of units in process, end

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