Work in Process Account Data for Two Months; Cost of Production Reports Pittsburgh Aluminum Company uses a process cost system to record the costs of manufacturing rolled aluminum, which consists of the smelting and rolling processes. Materials are entered from smelting at the beginning of the rolling process. The inventory of Work in Process—Rolling on September 1 and debits to the account during September were as follows: Bal., 2,600 units, ¼ completed: Direct materials (2,600 x $15.50) $40,300 Conversion (2,600 x ¼ x $8.50) 5,525 $45,825 From Smelting Department, 28,900 units $462,400 Direct labor 158,920 Factory overhead 101,402 During September, 2,600 units in process on September 1 were completed, and of the 28,900 units entering the department, all were completed except 2,900 units that were 4/5 completed. Charges to Work in Process—Rolling for October were as follows: From Smelting Department, 31,000 units $511,500 Direct labor 162,850 Factory overhead 104,494 During October, the units in process at the beginning of the month were completed, and of the 31,000 units entering the department, all were completed except 2,000 units that were 2/5 completed. Required: 1. Enter the balance as of September 1 in a four-column account for Work in Process—Rolling. Record the debits and the credits in the account for September. Construct a cost of production report and present computations for determining (a) equivalent units of production for materials and conversion, (b) costs per equivalent unit, (c) cost of goods finished, differentiating between units started in the prior period and units started and finished in September, and (d) work in process inventory. If an amount box does not require an entry, leave it blank. ACCOUNT Work in Process-Rolling Department ACCOUNT NO. BALANCE DATE ITEM POST. REF. DEBIT CREDIT DEBIT CREDIT Sept. 1 Bal., 2,600 units, 1/4 completed 45,825 Sept. 30 Smelting Dept., 28,900 units at $16.00/unit 462,400 508,225 Sept. 30 Direct labor 158,920 667,145 Sept. 30 Factory overhead 101,402 768,547 Sept. 30 Finished goods 702,195 66,352 Sept. 30 Bal., 2,900 units, 4/5 completed 66,352 If an amount is zero, enter in a zero "0". Round cost per unit answers to the nearest cent. Pittsburgh Aluminum Company Cost of Production Report-Rolling Department For the Month Ended September 30 Whole Units Equivalent Units Units Direct Materials (a) Conversion (a) Units charged to production: Inventory in process, September 1 2,600 Received from Smelting Department 28,900 Total units accounted for by the Rolling Department 31,500 Units to be assigned costs: Inventory in process, September 1 2,600 1,950 Started and completed in September 26,000 26,000 26,000 Transferred to finished goods in September 28,600 26,000 27,950 Inventory in process, September 30 2,900 2,900 2,320 Total units to be assigned costs 31,500 28,900 30,270 Costs Costs Direct Materials Conversion Total Costs Cost per equivalent unit: Total costs for September in Rolling Department $ 462,400 $ 260,322 Total equivalent units 28,900 30,270 Cost per equivalent unit (b) $ 16.00 $ 8.60 Costs assigned to production: Inventory in process, September 1 $ 45,825 Costs incurred in September 722,722 Total costs accounted for by the Rolling Department $ 768,547 Costs allocated to completed and partially completed units: Inventory in process, September 1 balance (c) $ 45,825 To complete inventory in process, September 1 (c) $ $ 16,770 16,770 Cost of completed September 1 work in process $ 62,595 Started and completed in September (c) 416,000 223,600 639,600 Transferred to finished goods in September (c) $ 702,195 Inventory in process, September 30 (d) 46,400 19,952 66,352 Total costs assigned by the Rolling Department $ 768,547 2. Provide the same information for October by recording the October transactions in the four-column work in process account. Construct a cost of production report, and present the October computations (a through d) listed in part (1). If an amount box does not require an entry, leave it blank. ACCOUNT Work in Process-Rolling Department ACCOUNT NO. Balance DATE ITEM POST. REF. DEBIT CREDIT DEBIT CREDIT Oct. 1 Balance Oct. 31 Smelting Dept., 31,000 units at $16.50/unit 511,500 577,852 Oct. 31 Direct labor 162,850 740,702 Oct. 31 Factory overhead 104,494 845,196 Oct. 31 Finished goods 805,156 40,040 Oct. 31 Bal., 2,000 units, 2/5 completed 40,040 If an amount is zero, enter in a zero "0". Round cost per unit answers to the nearest cent. Pittsburgh Aluminum Company Cost of Production Report-Rolling Department For the Month Ended October 31 Whole Units Equivalent Units Units Direct Materials (a) Conversion (a) Units charged to production: Inventory in process, October 1 2,900 Received from Smelting Department 31,000 Total units accounted for by the Rolling Department 33,900 Units to be assigned costs: Inventory in process, October 1 2,900 580 Started and completed in October 29,000 29,000 29,000 Transferred to finished goods in October 31,900 29,000 29,580 Inventory in process, October 31 2,000 2,000 800 Total units to be assigned costs 33,900 31,000 30,380 Costs Costs Direct Materials Conversion Total Costs Cost per equivalent unit: Total costs for October in Rolling Department $ 511,500 $ 267,344 Total equivalent units 31,000 30,380 Cost per equivalent unit (b) $ 16.50 $ 8.80 Costs assigned to production: Inventory in process, October 1 $ 66,352 Costs incurred in October 778,844 Total costs accounted for by the Rolling Department $ 845,196 Costs allocated to completed and partially completed units: Inventory in process, October 1 balance (c) $ 66,352 To complete inventory in process, October 1 (c) $ $ 5,104 5,104 Cost of completed October 1 work in process $ 71,456 Started and completed in October (c) 478,500 255,200 733,700 Transferred to finished goods in October (c) $ 805,156 Inventory in process, October 31 (d) 33,000 7,040 40,040 Total costs assigned by the Rolling Department $ 845,196 3. The cost per equivalent unit for direct materials increased from August to October. The cost per equivalent unit for conversion costs increased from August to October. These changes should be investigated for their underlying causes, and any necessary corrective actions should be taken.

Please find the following ratio for Southwest Airlines

Debt ratio = total debt/total assets

Indicates what percentage of an organizations assets are financed by debt

Co. XYZ has the following information from its income statement: Total current liabilities $ 805,000 Total Assets $ 2,655,000 Fixed and other assets $ 1,770,000 Long term debt

$ 200,000 What is the total amount of current assets? What is the amount of Stockholders equity of the firm? What is the amount of net working capital of the firm?

Your firm has the following balance sheet statement items: total current liabilities of $805,000; total assets of $2,886,875; net fixed assets of $1,842,823; and long-term debt of $200,000. What is the amount of the firm's total current assets?

Rajan Company's most recent balance sheet reported total assets of $1.98 million, total liabilities of $0.76 million, and total equity of $1.22 million. Its Debt to equity ratio is:

• 0.47

• 0.38

• 1.61

• 0.62

• 1.00

1. Two hundred potential voters were randomly sampled and asked their voting intentions. All participants

could choose from 2 potential candidates and were also asked about their education. The results are presented

below.

108

92

200

Test whether there is an association between education and voter preference

α= 0.05.