Question
In: Accounting
Data concerning a recent period’s activity in the Assembly Department, the first processing department in a...
Data concerning a recent period’s activity in the Assembly Department, the first processing department in a company that uses the FIFO method in its process costing, appear below:
| Materials | Conversion | |||
| Cost of work in process inventory at the beginning of the period | $ | 3,900 | $ | 730 |
| Equivalent units in the ending work in process inventory | 470 | 230 | ||
| Equivalent units required to complete the beginning work in process inventory | 660 | 1,240 | ||
| Cost per equivalent unit for the period | $ | 2.30 | $ | 0.60 |
A total of 26,500 units were completed and transferred to the next processing department during the period. Beginning work in process inventory consisted of 1,200 units and ending work in process inventory consisted of 2,700 units.
Required:
1. Compute the Assembly Department's cost of ending work in process inventory for materials, conversion, and in total for the period.
2. Compute the Assembly Department's cost of units transferred out to the next department for materials, conversion, and in total for the period.
Solutions
Expert Solution
| Materials | Conversion | Total | |
| Equivalent units Ending work in process (a) | 470.00 | 230.00 | |
| cost per unit (b) | 2.30 | 0.60 | |
| Cost of ending work in process (a*b) | 1081.00 | 138.00 | 1219.00 |
| Materials | Conversion | Total | |
| Cost of beginning work in process | 3900.00 | 730.00 | 4,630.00 |
| Add: Cost of units to complete beginning work in Process inventory (Equivalent units required to complete the beginning work in process inventory* Cost per equivalent unit for the period) = | =660*2.3 =1518.00 | = 1240*0.60=744.00 | 2,262.00 |
| Add: Cost of units started and completed during the period (units were completed and transferred - beginning work in process inventory) * Cost per equivalent unit for the period | = (26500-1200) * 2.30 | = (26500-1200) *0.6 | |
| = 25300*2.30 = 58190 | = 25300*0.60 =15180.00 | 73,370.00 | |
| Cost of units transferred to the next department | 63608.00 | 16654.00 | 80,262.00 |
ekkarill92 answered 2 years agoRelated Solutions
Data concerning a recent period’s activity in the Assembly Department, the first processing department in a...
Data concerning a recent period’s activity in the Assembly
Department, the first processing department in a company that uses
the FIFO method in its process costing, appear below:
Materials
Conversion
Cost of work in process inventory at the beginning of the
period
$
3,200
$
650
Equivalent units in the ending work in process inventory
400
200
Equivalent units required to complete the beginning work in
process inventory
600
1,200
Cost per equivalent unit for the period
$
2.32
$...
Data concerning a recent period’s activity in the Assembly Department, the first processing department in a...
Data concerning a recent period’s activity in the Assembly
Department, the first processing department in a company that uses
the FIFO method in its process costing, appear below:
Materials
Conversion
Cost of work in process inventory at the beginning of the
period
$
3,200
$
700
Equivalent units in the ending work in process inventory
410
160
Equivalent units required to complete the beginning work in
process inventory
540
1,280
Cost per equivalent unit for the period
$
3.10
$...
Data concerning a recent period’s activity in the Assembly Department, the first processing department in a...
Data concerning
a recent period’s activity in the Assembly Department, the first
processing department in a company that uses process costing,
appear below:
Materials
Conversion
Cost
of work in process inventory at the beginning of the period
$
3,200
$
630
Equivalent units of production in the ending work in
process inventory
420
140
Equivalent units of production required to complete the
beginning work
in process inventory
690
1,240
Cost
per equivalent unit for...
Data concerning a recent period’s activity in the Assembly Department, the first processing department in a...
Data concerning a recent period’s activity in the Assembly
Department, the first processing department in a company that uses
the FIFO method in its process costing, appear below:
Materials
Conversion
Cost of work in process inventory at the beginning of the
period
$
3,500
$
670
Equivalent units in the ending work in process inventory
420
200
Equivalent units required to complete the beginning work in
process inventory
510
1,230
Cost per equivalent unit for the period
$
1.70
$...
Data concerning a recent period’s activity in the Assembly Department, the first processing department in a...
Data concerning a recent period’s activity in the Assembly
Department, the first processing department in a company that uses
the FIFO method in its process costing, appear below:
Materials
Conversion
Cost of work in process inventory at the beginning of the
period
$
2,600
$
570
Equivalent units in the ending work in process inventory
350
130
Equivalent units required to complete the beginning work in
process inventory
530
1,130
Cost per equivalent unit for the period
$
1.60
$...
Exercise 5S-3 Assigning Costs to Units-FIFO Method [LO5S-8] Data concerning a recent period’s activity in the...
Exercise 5S-3 Assigning Costs to Units-FIFO Method [LO5S-8]
Data concerning a recent period’s activity in the Assembly
Department, the first processing department in a company that uses
the FIFO method in its process costing, appear below:
Materials
Conversion
Cost of work in process inventory at the beginning of the
period
$
3,200
$
650
Equivalent units in the ending work in process inventory
400
200
Equivalent units required to complete the beginning work in
process inventory
600
1,200
Cost per...
Metal Corporation uses a process costing system. Data concerning the first processing department for the most...
Metal Corporation uses a process costing system. Data concerning
the first processing department for the most recent month are
listed below:
Beginning work-in-process inventory:
Units in beginning work-in-process inventory
1,200
Materials costs
$
9,120
Conversion costs
$
15,840
Percent complete with respect to materials
40
%
Percent complete with respect to conversion
30
%
Units started into production during the month
8,000
Materials costs added during the month
$
120,800
Conversion costs added during the month
$
284,000
Ending work-in-process...
The debits to Work in Process—Assembly Department for April, together with data concerning production, are as...
The debits to Work in Process—Assembly Department for April,
together with data concerning production, are as follows:
April 1, work in process:
Materials cost, 3,000 units
$ 7,500
Conversion costs, 3,000 units, 80% completed
6,000
Materials added during April, 10,000 units
29,000
Conversion costs during April
35,000
Goods finished during April, 11,500 units
—
April 30 work in process, 1,500 units, 60% completed
—
All direct materials are placed in process at the beginning of the
process, and the average...
The debits to Work in Process--Assembly Department for April, together with data concerning production, are as...
The debits to Work in Process--Assembly Department for April,
together with data concerning production, are as follows: Work in
process, April 1, 3,000 units: Direct materials cost, for 3,000
units $ 7,200 Conversion costs, for 3,000 units, 60% completed $
6,000 Direct materials added during April, 10,000 units $ 25,000
Conversion costs during April $ 35,750 Goods finished during April,
12,000 units --- April 30 work in process, 1,000 units, 40%
completed --- All direct materials are placed in process...
The debits to Work in Process—Assembly Department for May, together with data concerning production, are as...
The debits to Work in Process—Assembly Department for May,
together with data concerning production, are as follows:
May 1, work in process:
Materials cost, 3,000 units
$7,000
Conversion costs, 3,000 units, 50%
completed
5,300
Materials added during May, 10,000 units
27,600
Conversion costs during May
33,200
Goods finished during May, 11,500 units
0
May 31 work in process, 1,500 units, 50%
completed
0
All direct materials are placed in process at the beginning of
the process and the first-in, first-out...
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