Add Page TT Insert T Text Table Chart Shape Media Comment Part A - Job Order Costing (30 marks) Beller Valley Apparel Co. uses a job order cost system. The following data summarizes the production data for the month of May 31, 2021, which is the first month of operations. Direct Job# Materials Direct Labour DM 1213 1214 1215 1216 1217 1218 13,800 16,500 9,600 27 300 12,900 12,750 12,950 18,760 7,000 24,360 10,360 12,460 15,500 25,500 Indirect materials Indirect labour Factory overhead applied at 50% of the direct labour cost Jobs completed in May 2021 1214, 1216 and 1218 Jobs shipped to customers 1216, 1218 Required: 1. What is job order costing? (2.5 marks) 2. What are period costs? Give two examples. (2.5 marks) age Insert Table Chart T Text Shape Media Comment 3. Prepare a job order cost report like the one discussed in class showing the costs allocated to each of the jobs, a listing of the completed jobs on hand, a listing of the work in process ending, finished goods inventory ending and the cost of goods sold. (20 marks) 4. Prepare the general journal entries to support the summarized operations. (5 marks) 1-1 I Part B - Process Order Costing (24 marks) 1. What is process order costing? (2 marks) 2. What is the main difference between Job Order Costing and Process Order Costing? (2 marks) dd Page T Insert Table Chart T Text Shape Media Comment 3. What is the function of the Cost of Production Report? (2 marks) 1 4. The ABC Company produces widgets in a two-step process. In process #2 the beginning work-in- process was 10,000 units with direct materials cost of $50,000 and conversion costs Jotaling $35,000. The beginning work in process was 75% complete as to conversion costs. All direct materials are introduced into production at the beginning of the process. There were 55,000 units transferred in during the month. For process #2 ABC Company introduced $299,750 worth of direct materials during the month. Total conversion costs were $263,375. The ending work in process had total units of 5,000 and were 25% complete as to conversion costs. There were 60,000 units transferred out. a. What are the units started and completed in the month? (2 Marks) 2-1 b. What are the Equivalent Units of Production for each of Beginning Work in Process, Units Started in the Month and the Ending Work in Process? (5 marks) c. What are the unit costs? (2 marks) d. What is the total costs allocation to: i. Beginning Work-in-Process, (3 marks) ii. Ending Work-in-Process (3 marks) iii. and the Units Started and Completed (Finished Goods)? (3 marks) I Direct Still in Finished Cost of Direct Materials Factory Ovehead Finished Goods Job # Labour Total WIP Goods Ending Goods Sold Account Debit Credit Direct Materials Units Direct Labour Factory Overhead Conversion Costs Costs Total Costs WIP Beginning Degree of completion Started in the month Completed and transferred WIP Ending Total Costs Added WIP Beginning transferred in Total to account for EQUIVALENT UNITS CALCULATIONS WIP Beginning Started and completed WIP Ending Equivalent Units UNIT COST CALCULATIONS WIP Beginning Costs added ASSIGNING UNIT COSTS TO THE UNITS WIP Beginning Costs added Started and Completed WIP Ending Finished Goods Work in Process