Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Could you please check answer is correct or not? Given Data: Required Humpty Dumpty Inc. manufactures Yummy potato chips. Part (1) Quantity Production of the

Could you please check answer is correct or not?

image text in transcribedimage text in transcribed
Given Data: Required Humpty Dumpty Inc. manufactures Yummy potato chips. Part (1) Quantity Production of the potato chips occurs in three departments: Cleaning, Cooking and Packaging. Units to be Accounted for: Schedule Consider the Cooking department, where the "seasoning" materials are added; more specifically: WIP - beginning 125,000 Units Started into production 209,000 Seasoning is added when the conversion costs are 85% complete 334,000 Equivalent Units of Production The accounting records of the Humpty Dumpty factory provided the following information for jalapeno Units Accounted for: Total Transferred In Seasoning Conversion flavoured potato chips in its Cooking department during a weekly period (week 9): Transferred Out 206,000 206,000 206,000 206,000 Transferred in Seasoning Conversion WIP - ending 128,000 Units costs costs costs Beginning work in process, week 9 125,000 $ 70,000 $ $ B,750 Transferred In 100% 128,000 Degree (percentage) of completion 0% 35% Seasoning 100% 128,000 Transferred In units during week 9 ? Conversion 90% 1 15,200 Costs added during week 9 $ 105,000 $ 14,000 | $ 52,850 334,000 Equivalent Units of Production 334,000 334,000 321,200 Completed units during week 9 206,000 Ending work in process units , week 9 128,000 Costs to be Accounted for: Total Transferred In Seasoning Conversion Degree (percentage) of completion 90% WIP - beginning $ 78,750 $ 70,000 $ $ 8.750 Costs added $ 171,850 105,000 14,000 62,850 Other possible % complete for costs: 0% 10% 20% 30% 40% 250,600 175,000 14,000 61,600 50% 60% 70% 80% 90% Equivalent Units of Production 334,000 334,000 321,200 100% Cost per E.U.P $ 0.758 $ 0.524 $ 0.042 $ 0.192 2) Inits sold during week 9 140,000 selling price per unit $ 1.99 Costs Accounted for: Total2) nits sold during week 9 140,000 elling price per unit $ 1.99 Costs Accounted for: Total Transferred Out $ 156,076 $ 156,076 REQUIRED: WIP - ending 1) Transferred In $ 67,066 Prepare a Production Report for the Cooking department week 9 using the weighted-average method and prepare any Seasoning 5.365 esulting journal entry. Conversion 22,093 2) 4,524 Based on your calculations, would the company achieve a gross profit on this product of 75% in week 9? $ 250,600 Show your gross profit calculation. Journal Entry Debit Credit Finished Goods $ 56,076 WIF $ 156,076 Vording to be referenced in completing your production report: Part (2) Conversion Would the company achieve a 75% gross profit in week 9? No costs added Show calculations Costs to be Accounted for: units sold during week 9 140,000 quivalent Units of Production selling price per unit $ 1.99 easoning Sales 278600 ransferred In Cost of good sold 106071 ransferred Out Gross Profit 172529 Inits Accounted for: Inits Started into production Gross Profit % 61.93% Inits to be Accounted for: VIP - beginning VIP - ending

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Michelle L. Hanlon, Robert P. Magee, Glenn M. Pfeiffer, Thomas R. Dyckman

6th Edition

1618533118, 978-1618533111

More Books

Students also viewed these Accounting questions

Question

9. What do trouble tickets report?

Answered: 1 week ago