Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

One of the months for assembly department has abnormal spoilage. check figures provided. This is front and back of paper, nnothing is left out. Sounds

image text in transcribed

image text in transcribed

One of the months for assembly department has abnormal spoilage. check figures provided. This is front and back of paper, nnothing is left out.

Sounds Great Speaker, Inc. makes stereo speakers for home use. The process involves work in two departments: Assembly, where the speakers are assembled, and Packaging, where the speakers are packed and prepared for shipment In the Assembly Department, Direct Material is added at the beginning of the process Conversion Costs are added evenly throughout the process, and Inspection is performed at the end of the process (Normal Spoilage is 6% of good units) in the Packaging Department, Direct Material is added at the beginning of the process, Conversion Costs are added evenly throughout the process, no inspection is made in this department. The FIFO method of process costing is used. (Round cost per equivalent unit to 4 decimal places where necessary) You have been hired by the company and begin work at the end of February. You are to complete the production cost worksheets for both departments for the months of January and February. You are also asked to make the end-of-the month journal entry for each department for each month and to summarize the activity in each WIP account over the two-month period using T-accounts. (Round to whole dollars in the Assignment of Costs section.) Assume that the regular day-to-day entries for the requisition of DM and the application of CC have already been made by an accounting staff member sembly Department - January BI Started Completed & Trans Out 3,500 units EI Costs: BI DM $%28,200 1,200 units (cc-35%) 3,300 units 800 units (cc 55%) CC S 3,360 Current DM $75,900 CC $31,620 Assembly Department - February BI Started Completed & 3,900 units Trans Out 3,300 units EI Costs: BI- 1,175 units (cc 50%) Current DM $88,725 $31,164

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

More Books

Students also viewed these Accounting questions

Question

=+2. Identify and analyze your audience.

Answered: 1 week ago

Question

=+3. Define the main idea.

Answered: 1 week ago