The following Information concens production in the Baking Department for March.
ID: 2337875 • Letter: T
Question
The following Information concens production in the Baking Department for March. All direct materials are placed in process at the beginning for March. All direct materials are placed in process at the beginning of production. ACCOUNT NO. Balance Debit Credit Date Item Debit Credit 1 Bal., 4,800 units, 2/5 completed 31 Direct materials, 86,400 units 31 Direct labor 31 Factory overhead 31 Goods finished, 87,600 units 31 Bal.? units, 3/5 completed 7,296 119,616 153,346 172,320 166,344 5,976 5,976 Mar. 112,320 33,730 18,974 a. Based on the above data, determine each cost listed below. Round "cost per equivalent unit answers to the nearest cent. 1. Direct materials cost per equivalent unit. 2. Conversion cost per equivalent unit. 3. Cost of the beginning work in process completed during March 4. Cost of units started and completed during March. s. Cost of the ending work in process b. Assuming that the direct materials cost is the same for February and March, did the conversion cost per equivalent unit increase, decrease, or remain the same in March? Increase a & b. Where in the process are direct materials adoed to the unis? hat there are two pieces to this manufactunng direct materiais costs and conversion costs. Recall the definiti Check hy Work Assignment Score: 41.94%Explanation / Answer
Cost of Production Report-Baking Department For the Month Ended March 31 Unit Information Units charged to production: Inventory in process, March 1 4800 Received from materials storeroom 86400 Total units accounted for by the Baking Department 91200 Units to be assigned costs: Equivalent Units Whole Units Direct Materials Conversion Inventory in process, March 1 4800 0 2880 Started and completed in March 82800 82800 82800 Transferred to Packing Department in March 87600 82800 85680 Inventory in process, March 31 3600 3600 2160 Total units to be assigned costs 91200 86400 87840 Cost Information Costs per equivalent unit: Direct Materials Conversion Total costs for March in Baking Department 112320 52704 Total equivalent units 86400 87840 Cost per equivalent unit 1.3 0.6 Costs charged to production: Direct Materials Conversion Total Inventory in process, March 1 7296 Costs incurred in March 165024 Total costs accounted for by the Baking Department 172320 Cost allocated to completed and partially completed units: Inventory in process, March 1 balance 7296 To complete inventory in process, March 1 0 1728 1728 Cost of completed March 1 work in process 9024 Started and completed in March 107640 49680 157320 Transferred to Packing Department in March 166344 Inventory in process, March 31 4680 1296 5976 Total costs assigned by the Baking Department 172320 1 Direct materials cost per equivalent unit $1.3 2 Conversion cost per equivalent unit $0.6 3 Cost of beginning work in Process completed $9024 4 Cost of units started and completed $157320 5 Cost of ending work in Process $5976