Q1) The following details refer to department A in a company that utilizes process costing for the month of May:

		percent complete	percent complete
	units	materials	conversion
beginning WIP	200	40%	30%
units added during may	?
units completed during may and transferred to the next department	5,800	100%	100%
end work in process inventory	600	40%	60%
		Materials	Conversion
cost of beginning WIP		$10,000	$15,000
costs added during may		$290,000	$387,000
total cost		$300,000	$402,000

The company uses FIFO method.

a) calculate the equivalent units for (i) materials and (ii) conversion

EU Materials __________

EU Conversion___________

b) calculate the cost per equivalent units for May ((Instructions: round the nearest 4th decimal place)

Cost per EU for Materials _________

Q2) A company has 2 service departments and 2 operating departments. Information can be found in the table below:

Service Departments

Operating Departments

Total

	IT (Service)	Accounting (service)	Mixing (Operating)	Packing (Operating)	Total
Costs	$141,400	$106,050	$277,750	$434,300	$959,500
number of employees	60	35	315	210	620
sq.Ft. Space	15,000	10,000	40,000	10,000	165,000

The company uses the direct method to allocate support costs using the number of employees for IT and Sq. Ft. Space for Accounting.

Given this, how much of the accounting cost is allocated to packaging?

Amount of accounting cost allocated to packaging __________

Q3) A hospital has provided the following details for levels of activity and maintenance cost:

	Patient-Days	Monthly maintenance cost
High Activity Level (August)	5,000	$12,400
Low Activity Level (March)	2,500	$9,200

a) Based on the high-low method, what is the hospitals variable maintenance cost per patient-day?

Variable maintenance cost per patient-day___________

b) Based on the high-low method, what is the hospitals fixed maintenance cost per month?

Fixed maintenance cost per month____________

c) If the hospital experiences 3,000 patient-days in a month, how much should it expect to incur in maintenance costs that month?

Total estimated maintenance costs______________