Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Christmas Company makes wreaths in two departments: Forming and Decorating. Forming began the month with 500 wreaths in process that were 100 percent

image text in transcribed

The Christmas Company makes wreaths in two departments: Forming and Decorating. Forming began the month with 500 wreaths in process that were 100 percent complete as to material and 40 percent complete as to conversion. During the month, 6,500 wreaths were started. At month end, Forming had 2,100 wreaths that were still in process that were 100 percent complete as to material and 50 percent complete as to conversion. Assume Forming uses the weighted average method of process costing. Costs in the Forming Department are as follows: Beginning Work in Process Costs: Material Conversion Current Costs: Material Conversion P1,000 1,500 P3,200 5,045 The Decorating Department had 600 wreaths in process at the beginning of the month that were 80 percent complete as to material and 90 percent complete as to conversion. The department had 300 units in ending Work in Process that were 50 percent complete as to material and 75 percent complete as to conversion. Decorating uses the FIFO method of process costing, and costs associated with Decorating are: Beginning WIP Inventory: Transferred In Material P1,170 4,320 Conversion 6,210 Current Period: Transferred In ? Material P67,745 Conversion 95,820 Refer to Christmas Company. Assume that 8,000 units were transferred to Decorating at a total cost of P16,000. What is the material cost per equivalent unit in Decorating? P8.65 P8.50 P8.80 P9.04

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

International Accounting

Authors: Frederick D. Choi, Gary K. Meek

6th edition

131588141, 978-0131588141

More Books

Students also viewed these Accounting questions

Question

Name the following compounds.

Answered: 1 week ago

Question

5. How is Mr. Bonner encouraging Marcuss self-efficacy?

Answered: 1 week ago