The Excel worksheet form that appears below is to be used to recreate the extended example on pages 150?152. Download the workbook containing this form from the Online Learning Center at www.mhhe.com/garrison14e. On the website you will also receive instructions about how to use this worksheet form. LEARNING OBJECTIVES 2, 3, 4, 5 You should proceed to the requirements below only after completing your worksheet. Required: 1. Check your worksheet by changing the beginning work in process inventory to 100 units, the units started into production during the period to 2,500 units, and the units in ending work in process inventory to 200 units, keeping all of the other data the same as in the original example. If your worksheet is operating properly, the cost per equivalent unit for materials should now be $152.50 and the cost per equivalent unit for conversion should be $145.50. If you do not get these answers, find the errors in your worksheet and correct them. How much is the total cost of the units transferred out? Did it change? Why or why not? 2. Enter the following data from a different company into your worksheet: Work in process, beginning: Units in process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 200 Completion with respect to materials . . . . . . . . . . . . . . . . . . 100% Completion with respect to conversion . . . . . . . . . . . . . . . . . 20% Costs in the beginning inventory: Materials cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,000 Conversion cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $800 Units started into production during the period . . . . . . . . . . . . 1,800 Costs added to production during the period: Materials cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $18,400 Conversion cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $38,765 Work in process, ending: Units in process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 Completion with respect to materials . . . . . . . . . . . . . . . . . . 100% Completion with respect to conversion . . . . . . . . . . . . . . . . . 30% What is the cost of the units transferred out? 3. What happens to the cost of the units transferred out in part (2) above if the percentage completion with respect to conversion for the beginning inventory is changed from 20% to 40% and everything else remains the same? What happens to the cost per equivalent unit for conversion? Explain

qattachments_4fa36ee528af84e3d491d749f22062e6aa35026a.xls Chapter 4: Applying Excel Data Work in process, beginning: Units in process Completion with respect to materials Completion with respect to conversion Costs in the beginning inventory: Materials cost Conversion cost Units started into production during the period Costs added to production during the period: Materials cost Conversion cost Work in process, ending: Units in process Completion with respect to materials Completion with respect to conversion 200 55% 30% $9,600 $5,575 5,000 $368,600 $350,900 400 40% 25% Enter a formula into each of the cells marked with a ? below Weighted Average method: Equivalent Units of Production Materials Units transferred to the next department ? Ending work in process: Materials ? Conversion Equivalent units of production ? Conversion ? ? ? Costs per Equivalent Unit Materials Cost of beginning work in process inventory Costs added during the period Total cost Equivalent units of production Cost per equivalent unit Conversion ? ? ? ? ? ? ? ? ? ? Costs of Ending Work in Process Inventory and the Units Transferred Out Materials Conversion Total Ending work in process inventory: Equivalent units of production ? ? Cost per equivalent unit ? ? Cost of ending work in process inventory ? ? ? Units completed and transferred out: Units transferred to the next department Cost per equivalent unit Cost of units transferred out ? Cost Reconciliation Costs to be accounted for: Cost of beginning work in process inventory Costs added to production during the period Total cost to be accounted for Costs accounted for as follows: Cost of ending work in process inventory Cost of units transferred out Total cost accounted for