Problem 16-3A (Part Level Submission) Cutting Department Production Data—July Pl
ID: 2462529 • Letter: P
Question
Problem 16-3A (Part Level Submission)
Cutting Department
Production Data—July
Plant 1
T12-Tables
Plant 2
C10-Chairs
Cost Data—July
(a)
T12 Tables
C10 Chairs
Materials
Conversion Costs
Materials
Conversion Costs
Total Costs
T12 Tables
Costs accounted for:
Transferred out
Work in process
Materials
Conversion costs
Total costs
C10 Chairs
Costs accounted for:
Transferred out
Work in process
Materials
Conversion costs
Total costs
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LINK TO TEXT
Problem 16-3A (Part Level Submission)
Seagren Industries Inc. manufactures in separate processes furniture for homes. In each process, materials are entered at the beginning, and conversion costs are incurred uniformly. Production and cost data for the first process in making two products in two different manufacturing plants are as follows.Cutting Department
Production Data—July
Plant 1
T12-Tables
Plant 2
C10-Chairs
Cost Data—July
Work in process, July 1 $0 $0 Materials 380,000 288,000 Labor 234,200 110,000 Overhead 104,000 96,700 Total $718,200 $494,700Explanation / Answer
Seagren Industries Inc. 1 Units Details Units % Material EUP Material % Conversion EUP Conversion Input Tables Opening WIP - - - - - Units started 19,000 Total EUP 19,000 Out Put Units Trasnferred out 16,000 100% 16,000 100% 16,000 Closing WIP 3,000 100% 3,000 60% 1,800 Total EUP 19,000 19,000 17,800 Chairs Opening WIP - - - - - Units started 16,000 Total EUP 16,000 Out Put Units Trasnferred out 15,500 100% 15,500 100% 15,500 Closing WIP 500 100% 500 80% 400 Total EUP 16,000 16,000 15,900 Units to be accounted for Tables 19,000 Chairs 16,000 Eq Units to be accounted for Materails Conversion Tables 19,000 17,800 Chairs 16,000 15,900 2 Material & Conversion Cost Details Materials Conversion Total Tables Opening WIP - - - Incurred in Month 380,000 338,200 718,200 Total Cost 380,000 338,200 718,200 Equivalent units 19,000 17,800 Cost per EUP $ 20.00 $ 19.00 Chairs Opening WIP - - - Incurred in Month 288,000 110,000 398,000 Total Cost 288,000 110,000 398,000 Equivalent units 16,000 15,900 Cost per EUP $ 18.00 $ 6.92 3 Cost Allocation . Tables Details Materials Conversion Total Cost per EUP $ 20.00 $ 19.00 EUP transferred out 16,000 16,000 Cost of units Transferred out $ 320,000 $ 304,000 624,000 EUP Closing WIP 3,000 1,800 Cost of units in closing WIP 60,000 34,200 94,200 Total Cost 718,200 Chairs Details Materials Conversion Total Cost per EUP $ 18.00 $ 6.92 EUP transferred out 15,500 15,500 Cost of units Transferred out $ 279,000 $ 107,233 386,233 EUP Closing WIP 500 400 Cost of units in closing WIP 9,000 2,767 11,767 Total Cost 398,000