1.A) During April, the production department of a process manufacturing system completed a number of units of a product and transferred them to finished goods. Of these transferred units, 60,000 were in process in the production department at the beginning of April and 240,000 were started and completed in April. April's beginning inventory units were 60% complete with respect to materials and 40% complete with respect to labor. At the end of April, 82,000 additional units were in process in the production department and were 80% complete with respect to materials and 30% complete with respect to labor.

1.B) Que Corporation uses a process cost accounting system. The company manufactured certain goods at a cost of $800 and sold them on credit to Are Corporation for $1,075. The complete journal entry to be made by Que at the time of this sale is:

a. Debit Accounts Receivable $1,075; credit Sales $1,075; debit Cost of Goods Sold $800; credit Finished Goods Inventory $800.

b. Debit Accounts Receivable $1,075; credit Sales $275; credit Finished Goods Inventory $800.

c. Debit Cost of Goods Sold $1,075; credit Sales $1,075.

d. Debit Finished Goods Inventory $800; debit Sales $1,075; credit Accounts Receivable $1,075; credit Cost of Goods Sold $800.

e. Debit Accounts Receivable $1,075; debit Selling expense $800; credit Sales $1,075; credit Cost of Goods Sold $800.

1.C) A process cost summary is a managerial accounting report that describes:

a. The costs charged to a department.

b. The equivalent units of production by the department.

c. How the costs were assigned to the output.

d. Physical transfers for a department.

e. All of the options are correct.

1. Compute the number of units transferred to finished goods. Total units transferred to finished goods 2. Compute the number of equivalent units with respect to both materials used and labor used in the production department for April using the weighted average method. Equivalent units of production - weighted average Units % Materials EUP- Materials % Labor EUP- Labor Equivalent units of production