Question
19. Brand Corporation uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month are listed
19. Brand Corporation uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month are listed below:
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Beginning work in process inventory: |
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Units in beginning work in process inventory |
| 2,600 |
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Materials costs | $ | 14,700 |
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Conversion costs | $ | 6,800 |
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Percent complete with respect to materials |
| 75 | % |
Percent complete with respect to conversion |
| 20 | % |
Units started into production during the month |
| 11,300 |
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Units transferred to the next department during the month |
| 10,200 |
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Materials costs added during the month | $ | 173,800 |
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Conversion costs added during the month | $ | 243,800 |
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Ending work in process inventory: |
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Units in ending work in process inventory |
| 3,700 |
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Percent complete with respect to materials |
| 90 | % |
Percent complete with respect to conversion |
| 30 | % |
The cost per equivalent unit for materials for the month in the first processing department is closest to:
Multiple Choice
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$11.25
$12.19
$10.94
$13.93
20. Brand Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 2,100 units. The costs and percentage completion of these units in beginning inventory were:
| Cost |
| Percent Complete | ||||
Materials costs | $ | 7,200 |
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| 50% |
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Conversion costs | $ | 3,400 |
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| 20% |
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A total of 8,500 units were started and 7,800 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month:
| Cost | ||
Materials costs | $ | 160,400 |
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Conversion costs | $ | 122,100 |
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The ending inventory was 85% complete with respect to materials and 75% complete with respect to conversion costs.
What are the equivalent units for conversion costs for the month in the first processing department?
Multiple Choice
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10,600
9,900
7,800
2,100
21. In June, one of the processing departments at Brand Corporation had ending work in process inventory of $12,500. During the month, $409,000 of costs were added to production and the cost of units transferred out from the department was $431,000.
In the departments cost reconciliation report for January, the cost of beginning work in process inventory for the department would be:
Multiple Choice
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$34,500
$418,500
$9,500
$396,500
22. The following materials standards have been established for a particular product:
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Standard quantity per unit of output |
| 4.5 | meters |
Standard price | $ | 18.80 | per meter |
The following data pertain to operations concerning the product for the last month:
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Actual materials purchased |
| 8,000 | meters |
Actual cost of materials purchased | $ | 158,800 |
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Actual materials used in production |
| 7,300 | meters |
Actual output |
| 1,560 | units |
What is the materials price variance for the month?
Multiple Choice
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$5,558 U
$8,400 U
$8,700 U
$14,840 U
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