Queen Corporation Produces a Product That Passes Through Two Departments

Queen Corporation produces a product that passes through two departments. For November, the following equivalent unit schedule was prepared for the first department: $\begin{array}{lrr}&\underline{\text { Materials }}&\underline{\text { Conversion}}\\&\underline{\text { Cost }} \\\text { Units completed } & 20,000 & 20,000 \\\text { Units in ending Work-in-Process Inventory } \times \text { Fraction complete: } & & \\\text { Materials }(4,000 \times 100 \%) & \underline{4,000} & \\\text { Conversion }(4,000 \times 50 \%) & & \underline{2,000} \\\quad \text { Equivalent units of output } & \underline{24,000} & \underline{\underline{22,000}}\end{array}$
Costs assigned to beginning Work-in-Process Inventory:
Materials: $18,000
Conversion: $22,000
Manufacturing costs incurred during the month:
Materials: $46,800
Conversion: $53,900
Required:
A. Compute the unit cost in the first department for November using the weighted average costing method.
B. Determine the cost of goods transferred out.
C. Determine the cost of ending Work-in-Process Inventory.

Correct Answer:

Verified

A. Cost per equivalent unit:
Materials =...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

View Full Answer For Free