Can you please fill in the blanks? Thank you! During April, the production depar
ID: 2492702 • Letter: C
Question
Can you please fill in the blanks? Thank you!
During April, the production department of a process manufacturing system completed a number of units of a product and transferred them to finished goods. Of these transferred units, 38,000 were in process in the production department at the beginning of April and 230,000 were started and completed in April. April’s beginning inventory units were 60% complete with respect to materials and 40% complete with respect to labor. At the end of April, 71,000 additional units were in process in the production department and were 60% complete with respect to materials and 30% complete with respect to labor.
The production department had $800,000 of direct materials and $700,000 of direct labor cost charged to it during April. Also, its beginning inventory included $90,000 of direct materials cost and $30,000 of direct labor.
During April, the production department of a process manufacturing system completed a number of units of a product and transferred them to finished goods. Of these transferred units, 38,000 were in process in the production department at the beginning of April and 230,000 were started and completed in April. April’s beginning inventory units were 60% complete with respect to materials and 40% complete with respect to labor. At the end of April, 71,000 additional units were in process in the production department and were 60% complete with respect to materials and 30% complete with respect to labor.
The production department had $800,000 of direct materials and $700,000 of direct labor cost charged to it during April. Also, its beginning inventory included $90,000 of direct materials cost and $30,000 of direct labor.
Equivalent units of production (EUP)- weighted average method Units % Materials EUP- Labor EUP-Materials 22,800 280,000 302,800 % Labor 15,200 280,000 295,200 Units of ending goods in process Units started and completed Equivalent units of production Cost per equivalent unit of production Costs of beginning goods in process Costs incurred this period Total costs ÷ Equivalent units of production Cost per equivalent unit of production (rounded to 2 decimals) Total costs to account for: 38,000 230,000 268,000 40% 100% 100% Materials Labor Costs Costs EUP EUP Total costs to account for: Total costs accounted for Difference due to rounding cost/unit Cost Assignment and Reconciliation Cost of units transferred out 0.00 0.00 EUP Cost per EUP Total cost Direct materials Direct labor Total costs transferred out Cost per EUP 0.00 0.00 Costs of ending goods in process EUP Total cost Direct materials 0.00 Direct labor 0.00 Total cost of ending goods in process Total costs accounted forExplanation / Answer
Equivalent Unit of Production (EUP) - weighted average method Units % Material EUP-Materials % Labor EUP-Labor Units od ending WIP 71,000 60.0% 42,600 30% 21,300 Units Started & Completed 230,000 100% 230,000 100% 230,000 Equivalent Unit of Production 301,000 272,600 251,300 Cost per equivalent unit of production Materials Labor Cost of beginning WIP 90,000 30,000 Cost incurred this period 800,000 700,000 Total Costs 890,000 730,000 Equivalent Units of Production 272,600 251,300 Cost per EUP 3.26 2.90 Total Costs to account for: Opening WIP 120,000 Cost Incurred Direct Materials 800,000 Direct Labor 700,000 Total Cost to account for 1,620,000 Total Costs accounted for 1,617,446 Difference due to rounding cost/unit 2,554 Cost Assignment and Reconciliation Cost of units transferred out EUP Cost per EUP Total Costs Direct Materials 230,000 3.26 749,800.00 Direct Labor 230,000 2.90 667,000.00 Total costs transferrred out 1,416,800.00 Cost of ending WIP EUP Cost per EUP Total Costs Direct Materials 42,600 3.26 138,876.00 Direct Labor 21,300 2.90 61,770.00 Total Cost of ending WIP 200,646.00 Total costs accounted for 1,617,446