The debits to Work-in-Process for Department #2 for the month of April of the current year,together with information concerning production,are presented below. \[\begin{array}{l} \text { WOFKHNPPROCESS - DEPARTMENT \#2 }\\ \begin{array} { | l | r | l | l | } \hline \begin{array} { l } 1,200 \text { units, } 1 / 4 \\ \text { completed } \end{array} & \$ 1,200 & \begin{array} { l } \text { Product } X , 6,200 \\ \text { units } \end{array} & ? ? ? ? \\ \hline \begin{array} { l } \text { From Dept. 1, 6,000 } \\ \text { units } \end{array} & 3,600 & & \\ \hline \text { Direct Labor } & 8,000 & & \\ \hline \text { Factory } \mathrm { OH } & 4,800 & & \\ \hline \begin{array} { l } 1,000 \text { units, } 1 / 2 \\ \text { complete } \end{array} & ? ? ? ? & & \\ \hline \end{array} \end{array}\] All direct materials come from Department #1.The units completed include the 1,200 in process at the beginning of the period.Department #2 uses FIFO costing.The cost of goods transferred to finished goods is:

A) $17,660. B) $16,000. C) $13,000. D) $12,800. A) $17,660. B) $16,000. C) $13,000. D) $12,800.

Emerson,Inc.uses the FIFO method in its process costing system.The following data concern the operations of the company's first processing department - Mixing - for a recent month. Required: $\begin{array}{l} \begin{array}{|l|r|} \hline \text { Work-in-process, beginning: }\\ \hline \text { Units in process } & 500 \\ \hline \text { Percent complete with respect to materials } & 70 \% \\ \hline \text { Percent complete with respect to comversion } & 30 \% \\ \hline \text { Costs in the beginning imventory: } & \\ \hline \text { Materials cost } & \$ 2,240 \\ \hline \text { Conversion cost } & \$ 4,365 \\ \hline \text { Units started into production during the month } & 16,000 \\ \hline \text { Units completed and transterred out } & 16,000 \\ \hline \text { Costs added to production during the month: } & \\ \hline \text { Materials cost } & \$ 98,580 \\ \hline \text { Comversion cost } & \$ 468,930 \\ \hline \text { Work-ir-process, ending: } & \\ \hline \text { Units in process } & 500 \\ \hline \text { Percent complete with respect to materials } & 50 \% \\ \hline \text { Percent complete with respect to cormersion } & 20 \% \\ \hline \end{array} \end{array}$ Using the FIFO method: a.Determine the equivalent units of production for materials and conversion costs.b.Determine the cost per equivalent unit for materials and conversion costs.c.Determine the cost of ending work-in-process inventory.d.Determine the cost of units transferred out of the department during the month.

FIFO method: @#IMG-DLM& \[\begin{array} { | l |

Exam 8: Process Costing

The following data have been provided by Florrisant Corporation,which uses the weighted-average method in its process costing.The data are for the company's Assembly Department for October. Required: Compute the equivalent units of production for both materials and conversion costs for the Assembly Department for October using the weighted-average method.

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Question 141

The Safety Chemical Company produces a special kind of body oil that is widely used by professional sports trainers.The oil is produced in three processes: Work-in-Process: Blending Beginning balance (8,000 gal, 30\% complete) \ 22,850 Costs transterred in from Refining ( 29,000 gal.) 48,200 Materials 20,810 Direct labor 5,748 Overhead 11,600 Ending balance (4,000 gal, 40\% complete) Refining,Blending,and Mixing.Raw oil materials are introduced at the beginning of the refining process.A "mountain-air scent" material is added in the blending process when processing is 50% completed.The following Work-in-Process account for the Blending Department is available for the month of July.The July 1 Work-in-Process inventory contains $5,920 in material costs,and $1.56/unit in costs transferred in from the Refining Department.The Safety Chemical Company uses weighted-average costing.Required (use 4 decimal places for computations): (a)Compute the equivalent units of production for Blending.(b)Compute the unit costs in the Blending Department for the month of July.(HINT: There are three!!) (c)Compute the costs transferred out to the Mixing Department for July.(d)Compute the July 31 Work-in-Process Inventory balance.

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Question 142

Which of the following statements is(are)true regarding product costing? (A)Twenty cans of paint that are 25% full are equivalent to four cans of paint that are completely full.(B)The equivalent unit concept refers to the actual amount of work during the period stated in terms of whole units.

(Multiple Choice)

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Question 143

Hsu Corporation uses the FIFO method in its process costing system.The following data concern the company's Grinding Department for the month of August. Cost in beginning work-in-process inventory \ 1,090 Units started and completed this month 2,670 $Hsu Corporation uses the FIFO method in its process costing system.The following data concern the company's Grinding Department for the month of August. \begin{array} { | l | r | } \hline \text { Cost in beginning work-in-process inventory } & \$ 1,090 \\ \hline \text { Units started and completed this month } & 2,670 \\ \hline \end{array} Required: Determine the cost of ending work-in-process inventory and the cost of units transferred out of the department during August using the FIFO method.$ Required: Determine the cost of ending work-in-process inventory and the cost of units transferred out of the department during August using the FIFO method.

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Question 144

If materials are only added at the beginning of the production process,then the degree of completion for materials in the ending Work-in-Process Inventory will be the same as the degree of completion for the conversion costs.

(True/False)

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Question 145

Operations costing systems are used when the products have:

(Multiple Choice)

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Question 146

Which of the following statements concerning a process cost accounting system is false?

(Multiple Choice)

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Question 147

The debits to Work-in-Process for Department #2 for the month of April of the current year,together with information concerning production,are presented below. WOFKHNPPROCESS - DEPARTMENT \#2 1,200 units, 1/4 completed \ 1,200 Product X,6,200 units ???? From Dept. 1, 6,000 units 3,600 Direct Labor 8,000 Factory 4,800 1,000 units, 1/2 complete ???? All direct materials come from Department #1.The units completed include the 1,200 in process at the beginning of the period.Department #2 uses FIFO costing.The cost of goods transferred to finished goods is:

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Question 148

Emerson,Inc.uses the FIFO method in its process costing system.The following data concern the operations of the company's first processing department - Mixing - for a recent month. Required: Work-in-process, beginning: Units in process 500 Percent complete with respect to materials 70\% Percent complete with respect to comversion 30\% Costs in the beginning imventory: Materials cost \ 2,240 Conversion cost \ 4,365 Units started into production during the month 16,000 Units completed and transterred out 16,000 Costs added to production during the month: Materials cost \ 98,580 Comversion cost \ 468,930 Work-ir-process, ending: Units in process 500 Percent complete with respect to materials 50\% Percent complete with respect to cormersion 20\% Using the FIFO method: a.Determine the equivalent units of production for materials and conversion costs.b.Determine the cost per equivalent unit for materials and conversion costs.c.Determine the cost of ending work-in-process inventory.d.Determine the cost of units transferred out of the department during the month.

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Question 149

Showing 141 - 149 of 149

Which of the following statements is(are)true regarding product costing? (A)Twenty cans of paint that are 25% full are equivalent to four cans of paint that are completely full.(B)The equivalent unit concept refers to the actual amount of work during the period stated in terms of whole units.

If materials are only added at the beginning of the production process,then the degree of completion for materials in the ending Work-in-Process Inventory will be the same as the degree of completion for the conversion costs.

Operations costing systems are used when the products have:

Which of the following statements concerning a process cost accounting system is false?

Cost Accounting: Information for Decision Making

Fundamentals of Cost-Volume-Profit Analysis

Fundamentals of Cost Analysis for Decision Making

Cost Estimation

Fundamentals of Product and Service Costing

Job Costing

Activity-Based Costing

Fundamentals of Cost Management

Service Department and Joint Cost Allocation

Fundamentals of Management Control Systems

Planning and Budgeting

Business Unit Performance Measurement

Transfer Pricing

Fundamentals of Variance Analysis

Additional Topics in Variance Analysis

Performance Measurement to Support Business Strategy

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