Cost of Units Transferred Out and Ending Work in Process The The rate used to al
ID: 2333084 • Letter: C
Question
Cost of Units Transferred Out and Ending Work in Process
The The rate used to allocate costs between completed and partially completed production.costs per equivalent unit of direct materials and conversion in the Bottling Department of Rocky Springs Beverage Company are $1.8 and $0.45, respectively. The equivalent units to be assigned costs are as follows:
The beginning work in process inventory had a cost of $1,520. Determine the cost of completed and transferred-out production and the ending work in process inventory. If required, round to the nearest dollar.
Equivalent Units Direct Materials Conversion Inventory in process, beginning of period 0 2,300 Started and completed during the period 38,000 38,000 Transferred out of Bottling (completed) 38,000 40,300 Inventory in process, end of period 5,000 1,500 Total units to be assigned costs 43,000 41,800Explanation / Answer
1 Completed and transferred out production Materials Conversion Total Inventory In process, Beginning 0 2300 Started and completed during the period 38000 38000 Cost of Units Transferred out 38000 40300 Cost per Equivalent $1.80 $0.45 $68,400.00 $18,135.00 Inventory in process, Beginning Cost $1,520.00 $68,400.00 $19,655.00 $88,055.00 2 Inventory in process ending Materials Conversion Total Ending work in process 5000 1500 Cost per equivalent per unit $1.80 $0.45 Cost of ending work in process inventory $9,000.00 $675.00 $9,675.00 Completed and Transferred out production $88,055 Inventory in process, ending $9,675