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EXERCISE A particular company manufactures reusable cloth bags. It uses a consistent and continuous manufacturing cost system with the first-in, first-out (successive exhaustion) method. Here

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EXERCISE A particular company manufactures reusable cloth bags. It uses a consistent and continuous manufacturing cost system with the first-in, first-out (successive exhaustion) method. Here is the data from Shop 2 for the month of April 2014 As of March 31, 2014, Shop 2's work-in-process inventory included: 550 units advanced at 20%. The book value of this inventory is $11,300 is broken down as follows: $6800 shop 1 contents $ 4500 shop 2 processing or transformation cost During the month of April, Shop 2 received: 2400 units from Shop 1 valued at $35,000. - The period costs for Shop 2 in April were 12000 $ raw materials or PM 14,000 $ processing or transformation - At the end of April: 330 units were being manufactured, 70% advanced The raw material for Shop 2 is added at 60% completion. Complete the following boards. MP: raw material or unprocessed material SPC start Received unit Total upstream MP Transformation Equivalent Physical unit units SPC start A-Z SPC end TOTAL TOTAL upstream MP transformation Costs SPC start Cost of the period TOTAL UPSTREAM MP TRANSFORMATION Cost price upstream MP Transformation Production report SPC start A-Z SPC end TOTAL EXERCISE A particular company manufactures reusable cloth bags. It uses a consistent and continuous manufacturing cost system with the first-in, first-out (successive exhaustion) method. Here is the data from Shop 2 for the month of April 2014 As of March 31, 2014, Shop 2's work-in-process inventory included: 550 units advanced at 20%. The book value of this inventory is $11,300 is broken down as follows: $6800 shop 1 contents $ 4500 shop 2 processing or transformation cost During the month of April, Shop 2 received: 2400 units from Shop 1 valued at $35,000. - The period costs for Shop 2 in April were 12000 $ raw materials or PM 14,000 $ processing or transformation - At the end of April: 330 units were being manufactured, 70% advanced The raw material for Shop 2 is added at 60% completion. Complete the following boards. MP: raw material or unprocessed material SPC start Received unit Total upstream MP Transformation Equivalent Physical unit units SPC start A-Z SPC end TOTAL TOTAL upstream MP transformation Costs SPC start Cost of the period TOTAL UPSTREAM MP TRANSFORMATION Cost price upstream MP Transformation Production report SPC start A-Z SPC end TOTAL

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