Question
Consider the following data for November 2017 from Fenton Manufacturing Company, which makes silk pennants and uses a process-costing system. All direct materials are added
Consider the following data for November 2017 from Fenton Manufacturing Company, which makes silk pennants and uses a process-costing system. All direct materials are added at the beginning of the process, and conversion costs are added evenly during the process. Spoilage is detected upon inspection at the completion of the process. Spoiled units are disposed of at zero net disposal value. Fenton Manufacturing Company uses the FIFO method of process costing.
Physical Units (Pennants) | Direct Materials | Conversion Costs | |
Work in process, November 1 a. | 1,200 | $1,103 | $711 |
Started in November 2017 | ? | ||
Good units completed and transferred out during November 2017 | 9,200 | ||
Normal spoilage | 100 | ||
Abnormal spoilage | 20 | ||
Work in process, November 30 b. | 1,900 | ||
Total costs added during November 2017 | $13,026 | $26,446 | |
a. Degree of completion; Direct materials 100%, Conversion costs, 45% | |||
b. Degree of completion: Direct materials 100%, Conversion costs, 35% |
requirement
Compute equivalent units for direct materials and conversion costs. Show physical units in the first column of your schedule.
Enter the physical units in first, then calculate the equivalent units. (Complete all answer boxes. Enter a "0" for any zero amounts.)
|
|
| Physical |
Flow of Production | Units |
Work in process, beginning |
|
Started during current period |
|
To account for |
|
Good units completed and transferred out during current period: | |
From beginning work in process |
|
Started and completed |
|
Normal spoilage |
|
Abnormal spoilage |
|
Work in process, ending |
|
Accounted for |
|
Equivalent units of work done in current period |
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