The production department in a process manufacturing system completed 256,000 un
ID: 2358142 • Letter: T
Question
The production department in a process manufacturing system completed 256,000 units of product and transferred them to finished goods during a recent period. Of these units, 56,000 were in process at the beginning of the period. The other 200,000 units were started and completed during the period. At period end, 49,000 units were in process.
Compute the department
The production department in a process manufacturing system completed 256,000 units of product and transferred them to finished goods during a recent period. Of these units, 56,000 were in process at the beginning of the period. The other 200,000 units were started and completed during the period. At period end, 49,000 units were in process.
Explanation / Answer
BB 25,000 Add 140,000 (Units T/O + EB - BB) T/O (135,000) EB 30,000 EU Produced - Units T/O 135,000 Units in EB 30,000 (DM cost 100% complete) Total EU 165,000 Cost Summary (DM only) - BB 93,500 Add 253,000 Total 346,500 DM cost per EU - 346,500 / 165,000 = 2.10
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