Question
In: Accounting
A company had the following information available for the year: Beginning inventory of goods in process...
A company had the following information available for the year: Beginning inventory of goods in process (40% complete, $1,100), ending inventory of goods in process (80% complete) 400 units, total units started during the year 3,200 units. What is the number of units transferred to finished goods during the year? b)FIFO equivalent units of production for the year are?
Solutions
Expert Solution
Before doing the given question , I report to you that $ 1,100 should have been 1,100 units. Because money value for beginning inventory of goods in process is not needed rather the unit of inventory of goods in process is needed for calculation proceedings.
A) Calculation for number of units transferred to finished goods during the year :
| Beginning inventory of goods (units) in process | 1,100 |
| Add: Total units started during the year | 3,200 |
| 4,300 | |
| Lese: Closing inventory of goods ( units) in process | 400 |
| Number of units transferred to finished goods | 3,900 |
B) Calculation for FIFO equivalents units of production for the year :
| Details if inventory of goods | Units | X | Percentage completion done in current year | Equivalents units |
| Beginning inventory of goods in process which has been completed | 1,100 | X | 60% | 660 |
| Total inventory of goods started and completed in the year [ 3,200 - 400] units | 2,800 | X | 100% | 2,800 |
| Closing inventory of goods in the process | 400 | X | 80% | 320 |
| FIFO Equally units of production | 3,780 units |
ekkarill92 answered 2 years agoRelated Solutions
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Group of answer choices
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Work-In-Process Inventory,
beginning
0
Units
started
60,000
Units completed and
transferred
48,000
Work-In-Process Inventory,
end
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Direct materials
added
$240,000
Direct
labor
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Factory
overhead
$82,000
The units in the ending Work-In-Process Inventory are 0 percent
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1/1 Beginning
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100
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1/20
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400
$6
$2400
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Purchase
200
$7
$1400
10/20
Purchase
300
$8
$2400
1,000
$6,600
A physical county if inventory on December 31 revealed that
there were 400 units on hand
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The entry to account for the cost of goods sold in October is:
Multiple Choice
Debit Cost of Goods Sold $849,000; credit Finished Goods
Inventory $849,000.
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Inventory $851,300.
Debit Finished...
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Work in process (ending) 950
Finished Goods (beginning) 0
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Raw Materials used 500
Labour (note 1) 200
Production facility Rent 400
Utilities (note 2) 100
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Anabtawi Company uses the periodic inventory method and had the following inventory information available: ( 8...
Anabtawi Company uses the periodic inventory method and had the
following inventory information available: ( 8 points)
Date
Explanation
Number of Units
Unit Cost
Total Cost
January 1
Beginning inventory
100
$4
$400
January 20
Purchase
400
$5
$2,000
July 25
Purchase
300
$6
$1,800
October 20
Purchase
200
$7
$1,400
Total
1000
$5,600
A physical count of inventory on December 31 revealed that there
were 300 units on hand.
Assume that the company uses the FIFO method. The Ending...
Anabtawi Company uses the periodic inventory method and had the following inventory information available: ( 8...
Anabtawi Company uses the periodic inventory method and had
the following inventory information available: ( 8 points)
Date
Explanation
Number of Units
Unit Cost
Total Cost
January 1
Beginning inventory
100
$4
$400
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Purchase
400
$5
$2,000
July 25
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$6
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October 20
Purchase
200
$7
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1000
$5,600
A physical count of inventory on December 31 revealed that
there were 300 units on hand.
Assume that the company uses the FIFO method. The Ending...
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