{ "key_pair_value_system": true, "answer_rating_count": "", "question_feedback_html": { "html_star": "", "html_star_feedback": "" }, "answer_average_rating_value": "", "answer_date_js": "2024-09-13T00:05:08-04:00", "answer_date": "2024-09-13 00:05:08", "is_docs_available": "", "is_excel_available": "", "is_pdf_available": "", "count_file_available": 0, "main_page": "student_question_view", "question_id": "10521614", "url": "\/study-help\/questions\/process-costing-packaging-department-direct-materials-are-added-90-at-10521614", "question_creation_date_js": "2024-09-13T00:05:08-04:00", "question_creation_date": "Sep 13, 2024 12:05 AM", "meta_title": "[Solved] Process Costing Packaging Department Dire | SolutionInn", "meta_description": "Answer of - Process Costing Packaging Department Direct materials are added 90% at the beginning of the process and the remaining | SolutionInn", "meta_keywords": "process,costing,packaging,department,direct,materials,added,90%,beginning,remaining,10%,cereal", "question_title_h1": "Process Costing Packaging Department Direct materials are added 90% at the beginning of the process and the remaining 10% are added when the cereal is", "question_title": "Process Costing Packaging Department Direct materials are added 90% at the beginning", "question_title_for_js_snippet": "Process Costing Packaging Department Direct materials are added 90 at the beginning of the process and the remaining 10 are added when the cereal is 50 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 in Direct Materials Direct Labor Overhead Beg WIP 4,000 (40 complete) $15,000 $720 $466 09 $160 Transferred In 42,013 $153,867 71 End WIP 4,200 (30 complete) Added during Qtr 1 Direct Materials $10,678 25 Direct Labor 860 hrs $11 00 per hour Overhead OH is applied based on predetermined OH rate and actual DL hours Determine the number of units completed during quarter 1 Compute the equivalent units using the weighted average method Compute the cost per equivalent unit using the weighted average method Compute the cost of goods transferred to finished goods inventory Compute the ending balance in WIP, Packaging Table 9 Actual Results (calculate revenue and COGS) Units sold Sales Price Revenue Units sold Cost per unit COGS Table 10 DM Variances (corn only) Price Variance Usage Variance Total Variance Calculations Table 11 Direct Labor Variances Rate Variance Efficiency Variance Total Variance Calculations ", "question_description": "

Process Costing Packaging Department<\/p>

<\/p>

Direct materials are added 90% at the beginning of the process and the remaining 10% are added when the cereal is 50% complete with the packaging process. Direct labor and overhead are added evenly throughout the process.<\/p>

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Table 8 Unit and cost information<\/p>

<\/p> <\/td>

<\/p> <\/td>

Cost<\/p> <\/td> <\/tr>

<\/p> <\/td>

Physical Units<\/p> <\/td>

Transferred-in<\/p> <\/td>

Direct Materials<\/p> <\/td>

Direct Labor<\/p> <\/td>

Overhead<\/p> <\/td> <\/tr>

Beg WIP<\/p> <\/td>

4,000 (40% complete)<\/p> <\/td>

$15,000<\/p> <\/td>

$720<\/p> <\/td>

$466.09<\/p> <\/td>

$160<\/p> <\/td> <\/tr>

Transferred In<\/p> <\/td>

42,013<\/p> <\/td>

$153,867.71<\/p> <\/td>

<\/p> <\/td>

<\/p> <\/td>

<\/p> <\/td> <\/tr>

End WIP<\/p> <\/td>

4,200 (30% complete)<\/p> <\/td>

<\/p> <\/td>

<\/p> <\/td>

<\/p> <\/td>

<\/p> <\/td> <\/tr> <\/tbody> <\/table>

<\/p>

Added during Qtr 1:<\/p>

Direct Materials -- $10,678.25<\/p>

Direct Labor 860 hrs @ $11.00 per hour<\/p>

Overhead OH is applied based on predetermined OH rate and actual DL hours<\/p>

<\/p>

  1. Determine the number of units completed during quarter 1.<\/li> <\/ol>

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    1. Compute the equivalent units using the weighted average method<\/li> <\/ol>

      <\/p>

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      1. Compute the cost per equivalent unit using the weighted average method<\/li> <\/ol>

        <\/p>

        <\/p>

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        <\/p>

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        <\/p>

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        <\/p>

        1. Compute the cost of goods transferred to finished goods inventory<\/li> <\/ol>

          <\/p>

          <\/p>

          <\/p>

          <\/p>

          <\/p>

          <\/p>

          <\/p>

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          <\/p>

          1. Compute the ending balance in WIP, Packaging<\/li> <\/ol>

            <\/p>

            <\/p>

            <\/p>

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            <\/p>

            <\/p>

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            <\/p>

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            Table 9 Actual Results (calculate revenue and COGS)<\/p>

            <\/p>

            Units sold<\/p> <\/td>

            Sales Price<\/p> <\/td>

            Revenue<\/p> <\/td> <\/tr>

            <\/p>

            <\/p> <\/td>

            <\/p> <\/td>

            <\/p> <\/td> <\/tr>

            Units sold<\/p> <\/td>

            Cost per unit<\/p> <\/td>

            COGS<\/p> <\/td> <\/tr>

            <\/p>

            <\/p> <\/td>

            <\/p> <\/td>

            <\/p> <\/td> <\/tr> <\/tbody> <\/table>

            <\/p>

            <\/p>

            <\/p>

            <\/p>

            Table 10 DM Variances (corn only)<\/p>

            <\/p>

            Price Variance<\/p> <\/td>

            <\/p>

            <\/p> <\/td> <\/tr>

            Usage Variance<\/p> <\/td>

            <\/p>

            <\/p> <\/td> <\/tr>

            Total Variance<\/p> <\/td>

            <\/p>

            <\/p> <\/td> <\/tr> <\/tbody> <\/table>

            <\/p>

            Calculations:<\/p>

            <\/p>

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            <\/p>

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            Table 11 Direct Labor Variances<\/p>

            <\/p>

            Rate Variance<\/p> <\/td>

            <\/p>

            <\/p> <\/td> <\/tr>

            Efficiency Variance<\/p> <\/td>

            <\/p>

            <\/p> <\/td> <\/tr>

            Total Variance<\/p> <\/td>

            <\/p>

            <\/p> <\/td> <\/tr> <\/tbody> <\/table>

            <\/p>

            Calculations:<\/p>

            <\/p>

            <\/p>

            <\/p>", "transcribed_text": "", "related_book": { "title": null, "isbn": null, "edition": null, "authors": null, "cover_image": null, "uri": null, "see_more_uri": "" }, "free_related_book": { "isbn": "", "uri": "", "name": "", "edition": "" }, "question_posted": "2024-09-13 00:05:08", "see_more_questions_link": "\/study-help\/questions\/business-finance-2024-September-20", "step_by_step_answer": "The Answer is in the image, click to view ...", "students_also_viewed": [ { "url": "\/study-help\/industrial-organizational-psychology-understanding-the-workplace\/4-integrating-information-from-chapters-4-6-and-12-develop-2002509", "description": "4. Integrating information from Chapters 4, 6, and 12, develop an anti-alcohol campaign that addresses the effects of alcohol (Chapter 4), the learning processes that accompany alcohol use (Chapter...", "stars": 0 }, { "url": "\/walden-green-provides-custom-farming-services-to-owners-of-5acre", "description": "Walden Green provides custom farming services to owners of 5-acre wheat fields. In July, he earned $2,400 by cutting, turning, and balling 3,000 bales. In the same month, the incurred the following...", "stars": 3 }, { "url": "\/study-help\/questions\/process-costing-packaging-department-direct-materials-are-added-90-at-10521614", "description": "Process Costing Packaging Department Direct materials are added 90% at the beginning of the process and the remaining 10% are added when the cereal is 50% complete with the packaging process. Direct...", "stars": 3 }, { "url": "\/study-help\/questions\/depreciation-at-pepsi-bottling-group-and-coca-cola-enterprises-2427914", "description": "Depreciation at Pepsi Bottling Group and Coca - Cola Enterprises The nonalcoholic beverage business is highly competitive. Two of the largest competitors in this business are the Pepsi Bottling Group...", "stars": 3 }, { "url": "\/study-help\/questions\/sandeep-parikh-purchased-a-variable-life-vl-insurance-5364603", "description": "Sandeep Parikh purchased a variable life ( VL ) insurance policy from the Homerun Insurance Company. Assuming Mr . Parikh's policy is a typical VL policy, it is correct to say that the subaccount...", "stars": 3 }, { "url": "\/study-help\/questions\/calculate-mean-median-standard-deviation-minimum-maximum-and-counts-n-5744417", "description": "Calculate mean, median, standard deviation, minimum, maximum, and counts (n) for all variables in the POS Associates data set that are appropriate (i.e., that are quantitative variables or are...", "stars": 3 }, { "url": "\/study-help\/questions\/demetri-lives-in-the-city-and-sometimes-uses-a-ride-903275", "description": "Demetri lives in the city and sometimes uses a ride share service. A ride costs $1.50 for the first mile and $0.25 for each additional mile. Demetri does not want to spend more than $3.75 on a ride....", "stars": 3 }, { "url": "\/study-help\/questions\/required-information-exercise-1212-algo-indirect-preparing-statement-of-cash-825774", "description": "Required information Exercise 12-12 (Algo) Indirect: Preparing statement of cash flows LO P2, P3, A1 [The following information applies to the questions displayed below.] The following financial...", "stars": 3 }, { "url": "\/study-help\/questions\/indicate-whether-each-of-the-following-expenditure-items-should-be-1493501", "description": "Indicate whether each of the following expenditure items should be classified as a function (F), organization unit (OU), activity (A), character (C), or object (O). Answer is complete and correct....", "stars": 3 } ], "next_back_navigation": { "previous": "\/study-help\/questions\/an-aging-of-a-companys-accounts-receivable-indicates-the-estimate-10521613", "next": "\/study-help\/questions\/describe-what-your-value-proposition-is-here-10521615" }, "breadcrumbs": [ { "name": "Study help", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers" }, { "name": "Business", "link": "https:\/\/www.solutioninn.com\/study-help\/questions-and-answers\/business" }, { "name": "Accounting", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/business-accounting" }, { "name": "Process Costing Packaging Department Direct materials are added 90% at the beginning", "link": "https:\/\/www.solutioninn.com\/study-help\/questions\/process-costing-packaging-department-direct-materials-are-added-90-at-10521614" } ], "skill_details": { "skill_id": "9", "skill_name": "Accounting", "parent_id": "1" } }": "1" } }