Question
Comment on Mr. Sawyer's motives for establishing the percentage of completion at 60 percent rather than 40 percent. Ending WIP Inventory Ending WIP Inventory =
Comment on Mr. Sawyer's motives for establishing the percentage of completion at 60 percent rather than 40 percent.
Ending WIP Inventory
Ending WIP Inventory = Beginning Inventory + Units started - Units Transferred Out
Ending WIP Inventory = 5500 + 94500 - 90000 = 10000
Explanation:
Ending WIP Inventory
Ending WIP Inventory = Beginning Inventory + Units started - Units Transferred Out
Ending WIP Inventory = 5500 + 94500 - 90000 = 10000
Equivalent cost per Unitassuming that the ending inventory is considered to be 40% completed
Equivalent unit = Unit Completed and transferred out x 100% + Ending WIP x % of Completion
Equivalent unit = 90000*100% + 10000*40%
Equivalent unit = 94000
Equivalent cost per Unit= Total Cost/Equivalent unit
Equivalent cost per Unit= 902400/94000
Equivalent cost per Unit= 9.6
Equivalent cost per Unitassuming that the ending inventory is considered to be 60% completed.
Equivalent unit = Unit Completed and transferred out x 100% + Ending WIP x % of Completion
Equivalent unit = 90000*100% + 10000*60%
Equivalent unit = 96000
Equivalent cost per Unit= Total Cost/Equivalent unit
Equivalent cost per Unit = 902400/96000
Equivalent cost per Unit = 9.4
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The Strictures Of Inheritance The Dutch Economy In The Nineteenth Century
Authors: Jan Luiten Van Zanden, Arthur Van Riel, Ian Cressie
1st Edition
0691229309, 9780691229300
