Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Blossom Inc. manufactures a single product in a continuous processing environment. All materials are added at the beginning of the process, and conversion costs
Blossom Inc. manufactures a single product in a continuous processing environment. All materials are added at the beginning of the process, and conversion costs are incurred uniformly throughout the process. To assign costs to inventories, the company uses weighted-average process costing. The following information was available for 2022: Sales (selling price per unit, $40) $4,568,000 Actual manufacturing overhead 739,200 Selling and administrative expenses 367,360 Unit production costs: Direct materials (1 kilogram) $7.00 Direct labour (1/2 hour) 9.00 Manufacturing overhead 10.00 Total $26.00 Units completed and transferred to finished goods Materials purchased Materials used in process 156,800 units 140,000 kilograms 152,320 kilograms An inventory count at year end (December 31, 2022) revealed that the inventories had the following balances: Raw materials Work in process inventory (45% complete) Finished goods 8,960 kilograms 24,640 units 50,400 units The January 1, 2022, work in process inventory units are 70% complete. The unit cost of production was the same in 2022 as it was in 2021. Calculate the following amounts for Blossom Inc.: The cost of ending work in process inventory for 2022 Cost assigned to ending work in process inventory $
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Lets calculate the cost assigned to the ending work in process inventory for Blossom Inc for 2022 using weightedaverage process costing Step 1 Calcula...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started