Honeybutter, Inc., manufactures a product that goes through two departments prio
ID: 2479301 • Letter: H
Question
Honeybutter, Inc., manufactures a product that goes through two departments prior to completion— the Mixing Department followed by the Packaging Department. The following information is available about work in the first department, the Mixing Department, during June.
Percent Completed
Compute the costs per equivalent unit for June for the Mixing Department. (Round your answers to 2 decimal places.)
Determine the total cost of ending work in process inventory and the total cost of units transferred to the Packaging Department.(Round your intermediate calculation to 2 decimal places and final answers to the nearest whole dollar amount.)
Prepare a cost reconciliation report for the Mixing Department for June. (Round your intermediate calculation to 2 decimal places and final answers to the nearest whole dollar amount.)
Honeybutter, Inc., manufactures a product that goes through two departments prior to completion— the Mixing Department followed by the Packaging Department. The following information is available about work in the first department, the Mixing Department, during June.
Explanation / Answer
Reconciliation
Statement showing equivalent Unit Equivalent Units Physical Units Material Conversion Cost WIP (beginning) 70000 Started During Current Period 460000 Total 530000 Completed and transferred out during current period 450000*100%, 450000* 100% 450000 450000 450000 Work in process, ending (given) 80000*75%; 80000*25% 80000 60000 20000 Accounted for 530000 Work done in current period only (equivalent Unit) 510000 470000 Particulars Material Conversion Total Cost WIP 36550 13500 50050 Cost incurred during the year 391850 287300 679150 Total Cost 428400 300800 729200 Equivalent Units 510000 470000 Cost per Equivalent Unit 0.84 0.64 Total costs to account for Completed/transferred out (450000*0.84)+ (450000*0.64) 378000 288000 666000 WIP Ending (60000*0.84); (20000*0.64) 50400 12800 63200 729200Related Questions
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