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Good evening, I need help answering this question based on process costing. Process Costing - Packaging Department Direct materials are added 90% at the beginning
Good evening, I need help answering this question based on process costing.
Process Costing - Packaging Department Direct materials are added 90% at the beginning of the process and the remaining 10% are added when the cookies are 80% complete with the packaging process. Direct labor and overhead are added evenly throughout the process. Table 8 - Unit and cost information Cost Physical Units Transferred Direct Direct Overhead in Materials Labor Beg WIP 24,000 (80% complete) $171,000 $21,200 $20,167.60 $1382.40 Transferred |420,000 $3,345,480 In End WIP 26,000 (75% complete) Added during Qtr 2: Direct Materials -- $402,544 Direct Labor - 26,000 hrs @ $18.50 per hour Overhead - OH is applied based on predetermined OH rate and actual DL hours Check figures: Materials cost per Eq Unit: $0.96 End Balance WIP Packaging $252,174 1. Determine the number of units completed during quarter 2. 2. Compute the equivalent units using the weighted average method. 3. Compute the cost per equivalent unit using the weighted average method 4. Compute the cost of goods transferred to finished goods inventory 5. Compute the ending balance in WIP, PackagingStep by Step Solution
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