Question

Litres			Costs
Beginning work in process inventory	0	litres	Beginning work in process inventory	$0
Started production	14,300	litres	Costs added during November:
Completed and transferred out to			Chicken	21,740
Retort in November	13,600	litres	Cream	4,000
Ending work in process inventory			Green peppers and mushrooms	5,440
(60% of the way through the			Direct labour	11,200
mixing process)	700	litres	Manufacturing overhead	9,830
			Total costs	$52,210

1.	Fill in the time line for the Mixing Department.
2.	Use the time line to help you summarize the flow of physical units and compute the equivalent units. ​(Hint​: Each direct material added at a different point in the production process requires its own​ equivalent-unit computation.)
3.	Compute the cost per equivalent unit for each cost category.
4.	Compute the total costs of the units​ (litres):
	a. Completed and transferred out to the Retort Department
	b. In the Mixing​ Department's ending work in process inventory

Requirement 1. Fill in the time line for the Mixing Department.

Start						Complete			Complete

Requirement 2. Use the time line to help you summarize the flow of physical units and compute the equivalent units.

​(Hint​: Each direct material added at a different point in the production process requires its own​ equivalent-unit computation.) ​(For entries with a zero​ balance, make sure to enter​ "0" in the appropriate​ cell(s).)

Great Chicken
Mixing Department
Flow of Physical Units and Computation of Equivalent Units
	Flow of	Equivalent Units
	Physical	Chicken	Green Peppers	Conversion
Flow of Production	Units	and Cream	and Mushrooms	Costs
Units to account for:
Units accounted for:
Total equivalent units

Requirement 3. Compute the cost per equivalent unit for each cost category. ​(For entries with a zero​ balance, make sure to enter​ "0" in the appropriate​ cell(s). Round the cost per equivalent unit to the nearest​ cent.)

Great Chicken
Mixing Department
Cost per Equivalent Unit
Month Ended November 30
	Chicken and	Green Peppers and	Conversion
Cost per Equivalent Unit:	Cream	Mushrooms	Costs
Cost per equivalent unit

Requirement 4. Calculate the total cost of the units

​(a​)completed and transferred out to the Retort Department and

​(b​)the units in the Mixing​ Department's ending work in process inventory. ​(Enter quantities​ first, then the cost per equivalent unit amounts in the same order as calculated in the preceding step. For entries with a zero​ balance, make sure to enter​ "0" in the appropriate​ cell(s). Round your answers to the nearest whole​ dollar.)

Great Chicken

Mixing Department

Cost Assignment

Month Ended November 30

Chicken and

Green Peppers

Cream

and Mushrooms

Conversion Costs

Total

a.

x (

+

+

)

b.

x

x

x

Total cost accounted for

Answer 1

Requirement 1-Fill in the timeline for the Mixing Department
Start	60% Complete			100% Complete
14300 litres
13600 units completed and transferred out
700 units in ending work in process
Requirement 2-Compute the equivalent units
		Equivalent units
Flow of Production	Flow of physical units	Chicken and Cream	Green peppers and mushrooms	Conversion cost
Units to account for:
Beginning work in process	0
Started production	14300	14300	14300	14300
Units accounted for:
Units transferred out	13600	13600	13600	13600
Ending work in process	700	420	420	420
Total equivalent units	14300	14020	14020	14020
Equivalent units = 700 x 60% = 420 litres
Requirement 3-Cost per equivalent unit
	Chicken and Cream	Green peppers and mushrooms	Conversion cost
Costs added during November	$25,740	$5,440	$21,030
Equivalent units	$14,020	$14,020	$14,020
Cost per equivalent unit	$2	$0	$2
Requirement 4-Calculate the total cost of the units
	Chicken and Cream	Green peppers and mushrooms	Conversion cost	Total
Units transferred out	13600x$1.84	13600x$0.39	13600x$1.50
	$24,969	$5,277	$20,400	$50,646
Ending work in process	420x$1.84	420x$0.39	420x$1.50
	$771	$163	$630	$1,564
Total cost accounted for	$25,740	$5,440	$21,030	$52,210