Question

In: Accounting

Equivalent Units of Production Wheatmore Company manufactures cold cereal products, such as Frosted Flakes. Assume that...

Equivalent Units of Production

Wheatmore Company manufactures cold cereal products, such as Frosted Flakes. Assume that the inventory in process on March 1 for the Packing Department included 720 pounds of cereal in the packing machine hopper, (enough for 480 24-oz. boxes) and 480 empty 24-oz. boxes held in the package carousel of the packing machine.

During March, 39,840 boxes of 24-oz. cereal were packaged. Conversion costs are incurred when a box is filled with cereal. On March 31, the packing machine hopper held 930 pounds of cereal and the package carousel held 620 empty 24-oz. (1½-lb.) boxes. Assume that once a box is filled with cereal, it is immediately transferred to the finished goods warehouse.

Determine the equivalent units of production for cereal, boxes, and conversion costs for March. An equivalent unit is defined as "pounds" for cereal and "24-oz. boxes" for boxes and conversion costs. If an amount is zero, enter in "0".

Wheatmore Company
Equivalent Units of Production for Cereal, Boxes, and Conversion Cost
For March
Cereal
(in pounds)		 Boxes
(in boxes)		 Conversion Cost
(in boxes)
Inventory in process, March 1
Started and completed in March
Transferred to finished goods in March
Inventory in process, March 31
Total

Solutions

Expert Solution

Cereal Boxes Conversion Cost Notes
(in pounds) (in boxes) (in boxes)
Inventory in process, March 1                -                  -                      480 all the boxes is the carousel is the conversion cost
Started and completed in March         59,040         39,360               39,360 39840 minus 480
Transferred to finished goods in March         59,040         39,360               39,840 summation of the rows above
Inventory in process, March 31              930              620                      -   As given in the problem
Total       59,970       39,980             39,840

ekkarill92 answered 1 year ago
Next > < Previous

Related Solutions

Battle Creek Cereal Company has four main products: Corn Flakes, Frosted Flakes, Bran Flakes and Strawberry...
Battle Creek Cereal Company has four main products: Corn Flakes, Frosted Flakes, Bran Flakes and Strawberry Flakes. The average daily demand for the products is: Corn Flakes: 1,250 CS Frosted Flakes: 1,430 CS Bran Flakes: 815 CS Strawberry Flakes: 3,245 CS These products are manufactured on a single assembly line with a daily production rate of 11,565 CS. It costs Battle Creek $1,350 to set up each cereal for producition and the daily holding cost for cereal is $0.02. What...
Equivalent Units and Related Costs; Cost of Production Report; Entries Wilmington Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Wilmington Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on December 1, 2016: Work in Process—Filling Department (3,000 units, 60% completed): Direct materials (3,000 x $18) $54,000 Conversion (3,000 x 60%...
Equivalent Units and Related Costs; Cost of Production Report; Entries Wilmington Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Wilmington Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on December 1, 2016: Work in Process—Filling Department (3,000 units, 60% completed): Direct materials (3,000 x $18) $54,000 Conversion (3,000 x 60%...
Equivalent Units and Related Costs; Cost of Production Report; Entries Wilmington Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Wilmington Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on December 1, 2016: Work in Process—Filling Department (3,800 units, 70% completed): Direct materials (3,800 x $16.3) $61,940 Conversion (3,800 x 70%...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on January 1: Work in Process—Filling Department (5,900 units, 30% completed): Direct materials (5,900 x $14.5) $85,550 Conversion (5,900 x 30% x...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on January 1: Work in Process—Filling Department (3,400 units, 60% completed): Direct materials (3,400 x $9.58) $32,572 Conversion (3,400 x 60% x...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on January 1: Work in Process—Filling Department (4,400 units, 80% completed): Direct materials (4,400 x $12.3) $54,120 Conversion (4,400 x 80% x...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on January 1: Work in Process—Filling Department (1,900 units, 60% completed): Direct materials (1,900 x $10.70) $20,330 Conversion (1,900 x 60% x...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on January 1: Work in Process—Filling Department (2,900 units, 20% completed): Direct materials (2,900 x $17) $49,300 Conversion (2,900 x 20% x...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals...
Equivalent Units and Related Costs; Cost of Production Report; Entries Dover Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals. The balance in the account Work in Process—Filling was as follows on January 1: Work in Process—Filling Department (3,500 units, 20% completed): Direct materials (3,500 x $16.7) $58,450 Conversion (3,500 x 20% x...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT