Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

Mundy Handcraft is a manufacturer of picture frames for large retailers. Evcry p

ID: 2407499 • Letter: M

Question

Mundy Handcraft is a manufacturer of picture frames for large retailers. Evcry picture frame passes through two departments the assombly dcpartment and the finishing department. This problem focuses on the asscmbly department The prccess-costing system a Mun has a single lec s calegory dire malena s and ? single m tec st alegory comversion cus s Direct ma nals are added when h ssent e nen process is 0 ? ?? le. onvers on costs are adde even during he assembly department's process. Mundy uses the weighted average method of process costing. Consider the following data for the assembly department in April 2014 EEB (Click the icon to view the data.) Requirements 1. Surnmiarize total assernbly departrierit costs for April 2014, and assign tolal costs to unils compleled (and transferred oul) and to unils i 2. whal issues should ? manager focus on when reviewing lhe equivalent units calculalion? ending work iri process To accouril or Complctod and transferred out during current period Work in process, cnding Accounted for Equivalent units of work done to date Now summarize the total costs to account for 1Data Table 155 130 535 155 155 130 39 Physical Units Direct Conversion 494 (Frames) Materials C Costs 95 490 155 130 $1,665 $988 Work in process, April1 Started during April 2014 Completed during April 2014 Work in process. April 30b Total costs added during Apnl 2014 Total Direct Conversion Production Costs Materials Costs 17,540 $11,056 Degree of completion. direct materials, 100%, conversion costs, 40% bDogree of completion direct materials, 100%, conversion costs, 30% Tolal costs to account for Print Done hoose from any list or enter any number in the input fields and then click Check Answer

Explanation / Answer

Units

Material

Conversion Cost

Opening units

95

100%

40%

Introduced

490

Total

585

Transferred

455

100%

100%

Closing WIP

130

100%

30%

Equivalent Units

WIP

Total Units

Material

Conversion cost

Opening

95

0%

0

60%

57

Ending

130

100%

130

30%

39

Introduced and completed

455

100%

455

100%

455

TOTAL Equivalent Units

680

585

551

Material

Conversion Cost

Current cost

$                            19,305.00

$                     12,844.00

EUP

585

551

Cost/unit

$                                33.0000

$                             23.31

Material

Conversion Cost

Cost/Unit

EUP

Cost allocated

EUP

Cost allocated

Opening

33.00

0

$                                            -  

$                             23.31

57

$    1,328.69

Ending

33.00

130

$                               4,290.00

$                             23.31

39

$        909.10

Introduced and completed

33.00

455

$                            15,015.00

$                             23.31

455

$ 10,606.21

TOTAL

A

$                            19,305.00

B

$ 12,844.00

Total Cost accounted for

(A+B)

$ 32,149.00

*Difference due to rounding off

Units

Material

Conversion Cost

Opening units

95

100%

40%

Introduced

490

Total

585

Transferred

455

100%

100%

Closing WIP

130

100%

30%