managerial accounting course
EXERCISE 2 Required: Assume that the company uses the weighted-average method of accounting for units and costs. 1. Compute the equivalent units for February's activity for the first department. 2. Determine the costs per equivalent unit for May. 3. Determine the cost of ending work in process inventory. 4. Determine the cost of the units transferred to the next department. EXERCISE 2 Required: Assume that the company uses the weighted-average method of accounting for units and costs. 1. Compute the equivalent units for February's activity for the first department. 2. Determine the costs per equivalent unit for May, 3. Determine the cost of ending work in process inventory. . 4. Determine the cost of the units transferred to the next department. EXERCISE 2 The following information concerns production in the Forging Department for February. The Forging Department uses the weighted average cost method. Units Materials Labor Overhead Work in process, 100,000 $75,300 $25,000 $34,000 February 1 Units started in process 550,000 Units transferred out 800,000 Work in process, 25,000 February 28 Cost added during $770,900 $360,000 $758,000 February The ending work in process inventory was 70% complete with respect to materials and 20% complete with respect to labor and overhead. Notes Comments EXERCISE 2 Required: Assume that the company uses the weighted-average method of accounting for units and costs. 1. Compute the equivalent units for February's activity for the first department. 2. Determine the costs per equivalent unit for May. 3. Determine the cost of ending work in process inventory. 4. Determine the cost of the units transferred to the next department. EXERCISE 2 Required: Assume that the company uses the weighted-average method of accounting for units and costs. 1. Compute the equivalent units for February's activity for the first department. 2. Determine the costs per equivalent unit for May, 3. Determine the cost of ending work in process inventory. . 4. Determine the cost of the units transferred to the next department. EXERCISE 2 The following information concerns production in the Forging Department for February. The Forging Department uses the weighted average cost method. Units Materials Labor Overhead Work in process, 100,000 $75,300 $25,000 $34,000 February 1 Units started in process 550,000 Units transferred out 800,000 Work in process, 25,000 February 28 Cost added during $770,900 $360,000 $758,000 February The ending work in process inventory was 70% complete with respect to materials and 20% complete with respect to labor and overhead. Notes Comments
