Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Synchromatic Industries manufactures tiles for sale in the home renovation industry. It uses the weighted-average method for its two divisions. Division A performs the first

Synchromatic Industries manufactures tiles for sale in the home renovation industry. It uses the weighted-average method for its two divisions. Division A performs the first process in the production process and Division B performs the second. Following is information for Division B for the month of September:

Physical Units
WIP, Sep 1 2,600 (30% complete)
Transferred from Division A 12,000 units
WIP, Sep 30 3,000 (10% complete)
Sep 1, WIP Costs added in September Total
Transferred in $25,740 $120,000 $145,740
Direct materials 8,190 48,000 56,190
Direct Labour 20,904 300,240 321,144
Overhead 6,864 100,080 106,944
Total $61,698 $568,320 $630,018

In Division B, materials are added at the beginning of the process and conversion costs are incurred uniformly throughout the process. There is no spoilage of the products.

Calculate the total cost of the units completed and transferred out of Division B in September (rounded) using the FIFO method.

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

ISE Fundamentals Of Cost Accounting

Authors: William N. Lanen, Shannon Anderson, Michael W. Maher

6th Edition

1260569098, 9781260569094

More Books

Students also viewed these Accounting questions

Question

Why do interest rates differ between Canada and the United States?

Answered: 1 week ago