Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Frito-Lay, Inc., manufactures convenience foods, including potato chips and corn chips. Production of corn chips occurs in four departments: cleaning, mixing, cooking, and drying and

Frito-Lay, Inc., manufactures convenience foods, including potato chips and corn chips. Production of corn chips occurs in four departments: cleaning, mixing, cooking, and drying and packaging. Consider the drying and packaging department, where direct materials (packaging) are added at the end of the process. Conversion costs are added evenly during the process. The accounting records of a Frito-Lay plant provide the following information for corn chips in its drying and packaging department during a weekly period (week 37):

Physical Units(Cases) Transferred-In Cost Direct Materials Conversion costs

Beginning work in process 5,000 $29,000$ 0 $ 9,060

Transferred in during week 37

from cooking department 20,000

Completed during week 37 21,000

Ending work in process, week 37 4,000

Total costs added during week 37 $96,000 $25,200 $38,400

Degree of completion: transferred-in costs, 100%; direct materials, ?%; conversion costs, 80%.

Degree of completion: transferred-in costs, 100%; direct materials, ?%; conversion costs, 40%.

In which department or departments was the $29,000 incurred?

When was it incurred?

How many cases are associated with this figure?

In which department or departments the $ 9,060 incurred?

When was it incurred?

How many units are associated with this figure?

In which department or departments was the $ 25,200 incurred?

When was it incurred?

How many units are associated with this figure?

In which department or departments was the $ 38,400 incurred?

When was it incurred?

How many units are associated with this figure?

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

Case Study In Auditing

Authors: Donald H Taylor

1st Edition

0471046264, 978-0471046264

More Books

Students also viewed these Accounting questions