Beginning goods in process inventory (March 31) Units of product 30,000 units Pe
ID: 2529087 • Letter: B
Question
Beginning goods in process inventory (March 31)
Units of product 30,000 units
Percentage of completion – Direct materials 100%
Percentage of completion – Direct labor 65%
Direct materials costs $4,300
Direct labor costs $ 700
Factory overhead costs applied $ 920
Activities during the current period (April)
Units started this period 90,000 units
Units transferred out (completed) 100,000 units
Direct materials costs $ 12,900
Direct labor costs $ 6,700
Factory overhead costs applied $ 7,680
Ending goods in process inventory (April 30)
Units of product 20,000
Percentage of completion – Direct materials 100%
Percentage of completion – Direct labor 25%
Process Cost Summary
Weighted Average
Cost Charged to Production
Costs of beginning goods in process
Direct Materials
Direct Labor
Factory Overhead
Costs incurred this period
Direct materials
Direct Labor
Factory Overhead
Total costs to account for
Unit Cost Information
Units to accounts for: Units accounted for:
Beginning goods in process Completed and transferred out
Units started this period Ending goods in process
Total units to account for Total units accounted for
Direct Direct Factory
Equivalents Units of Production (EUP) Materials Labor Overhead
Units completed and transferred out
Units of ending goods in process
Direct materials
Direct labor
Factory overhead
Equivalent units of production
Direct Direct Factory
Cost per EUP Materials Labor Overhead
Costs of beginning goods in process
Costs incurred this period
Total costs
/EUP
Cost per EUP
Cost Assignment and Reconciliation
Costs transferred out (COGM)
Direct materials
Direct labor
Factory overhead
Costs of ending goods in process
Direct materials
Direct labor
Factory overhead
Total costs accounted for
1. What is the equivalent units of production for direct materials?
2. What is the equivalent units of production for direct labor?
3. What is the equivalent units of production for factory overhead?
4. What is the cost per equivalent unit of production (4 decimals) for direct materials?
5. What is the cost per equivalent unit of production (4 decimals) for direct labor?
6. What is the cost per equivalent unit of production for factory overhead?
7. What is the cost of goods manufactured?
8. What is the cost of ending goods in process?
Explanation / Answer
UNITS TO ACCOUNT FOR: Beginning Work in Process units 30,000 Add: Units Started in Process 90,000 Total Units to account for: 120,000 UNITS TO BE ACCOUNTED FOR: Units started and completed 100,000 Ending Work in Process 20,000 Total Units to be accounted for: 120,000 Equivalent Units: Material Cost Labour and oH % Completion Units % Completion Units Units started and completed 100% 100,000 100% 100,000 Ending Work in Process 100% 20,000 25% 5,000 Total Equivalent units 120,000 105,000 TOTAL COST TO ACCOUNT FOR: Material Labaour OH Beginning work in Process 4,300 700 920 Cost Added during May 12,900 6,700 7,680 Total Cost to account for: 17,200 7,400 8,600 Total Cost to account for: 33,200 COST PER EQUIVALENT UNIT: Material Labour OH Total cost added during the year 17,200 7,400 8,600 Equivalent Units 120,000 105,000 105,000 Cost per Equivalent unit 0.1433 0.0705 0.0819 TOTAL COST ACCOUNTED FOR: Units started and Transferred out (100000 units) Equivalent unit Cost per EU Total Cost Material 100,000 0.1433 14330 Labour 100,000 0.0705 7050 Overheadss 100,000 0.0819 8190 Total Cost of Units completed and transferred out: 29570 Ending Work in process (20,000 units) Equivalent unit Cost per EU Total Cost Material 20,000 0.1433 2866 Labour 5,000 0.0705 352.5 Overheadsd 5,000 0.0819 409.5 Total cost of Ending Work in process: 3,628 Cost charged t Production: Cost of beginning Wor in process Material 4300 Direct labour 700 Overheads 920 Cost Incurred this period: Material 12900 labour 6700 Overheads 7680 Total cost to account for 33200 Cost assignment and Reconciliation; Cost transferred out:; Material 14330 Labour 7050 Overheads 8190 Total cost of transferred out 29570 Cost Ending units Material 2866 Labour 352 Overheads 410 Total ending WIP 3628 Total cost accounted for 33198
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.