Problem 16-3A (Part Level Submission) Cutting Department Production Data—July Pl
ID: 2534491 • 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
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 437,000 331,200 Labor 269,330 126,500 Overhead 119,600 111,205 Total $825,930 $568,905Explanation / Answer
T12 table
C 10 chairs
Beggining units 0 Transferred out 18,400 Started intro production 21850 Ending units 3,450 Units accounted for 21850 21850 Equivalent units Material Conversion cost Units transferred A 18400 18400 Ending Units 3,450 3,450 Completion 100% 60% B 3450 2070 Total units 21850 20470 Cost per equivalent units Particulars Material Conversion cost total As at beginning 0 0 0 Added during the month 437000 388930 825930 Cost to be accounted for 437000 388930 825930 Total eqivalent units 21850 20470 Cost per equivalent unit 20.00 19.00 39.00 Cost per equivalent unit = Cost to be accounted for / Total equivalent units