Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

QUESTION 3 Cherry Fertilizer Sdn. Bhd. makes organic compost from commodity and agricultural waste. The production process begins by shredding all of the collected waste

image text in transcribed
QUESTION 3 Cherry Fertilizer Sdn. Bhd. makes organic compost from commodity and agricultural waste. The production process begins by shredding all of the collected waste into a compost mixture. In a series of steps, the compost mixture is converted into finished fertilizers that are then bagged and sold. Cherry Fertilizer incurs conversion costs uniformly throughout the process. Cherry Fertilizer shut down its production plant for a major maintenance during October 2019 and began November 2019 with zero inventory of finished organic compost. Cherry Fertilizer started 645,000 pounds of material into production in early November 2019 and had 95,000 pounds still in process at the end of the month. Cherry Fertilizer estimates the ending work in process inventory to be 20 percent complete with respects to conversion costs. During November 2019, Cherry Fertilizer spent RM1,935,000 on materials and RM1,024,200 on conversion costs. Required: Prepare a production cost report for the month of November 2019. (20 marks)

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

Audit Of The Safety Of Electrical Installations

Authors: Papa Samba Agne

1st Edition

6205799308, 978-6205799307

More Books

Students also viewed these Accounting questions