Question

Problem 16-3A (Part Level Submission) Thakin Industries Inc. manufactures dorm furniture in separate processes. In each process, materials are entered at the beginning, and conversion costs are incurred uniformly. Production and cost data for the first process in making two products in two different manufacturing plants are as follows. Cutting Department Production Data—July Plant 1 T12-Tables Plant 2 C10-Chairs Work in process units, July 1 0 0 Units started into production 21,000 16,800 Work in process units, July 31 3,150 525 Work in process percent complete 60 80 Cost Data—July Work in process, July 1 $0 $0 Materials 399,000 302,400 Labor 246,120 115,500 Overhead 109,200 110,040 Total $754,320 $527,940 (a1) Your answer is correct. For each plant compute the physical units of production. T12 Tables C10 Chairs Units to be accounted for Click if you would like to Show Work for this question: Open Show Work Show Solution Show Answer Link to Text Attempts: 1 of 3 used (a2) For each plant compute equivalent units of production for materials and for conversion costs. Materials Conversion Costs T12 Tables C10 Chairs

Answer 1

Physical units of Production
UNITS TO ACCOUNT FOR:				TABLES	CHAIRS
Beginning Work in Process units				0	0
Add: Units Started in Process				21,000	16800
Total Units to account for:				21,000	16800
UNITS TO BE ACCOUNTED FOR:				TABLES	CHAIRS
Units transferred				17,850	16275
Ending Work in Process				3,150	525
Total Units to be accounted for:				21,000	16800
EQUIVALENTS UNITS OF PRODUCTION:
Tables
Equivalent Units:
			Material Cost		Conversion
			% Completion	Units	% Completion	Units
Units started and completed			100%	17,850	100%	17,850
Ending Work in Process			100%	3,150	60%	1,890
Total Equivalent units				21,000		19,740
Chairs:
Equivalent Units:
			Material Cost		Conversion
			% Completion	Units	% Completion	Units
Units started and completed			100%	16,275	100%	16,275
Ending Work in Process			100%	525	80%	420
Total Equivalent units				16,800		16,695