Perry Company. has the following information for November:
Beginning Work in Process Inventory
(70% complete as to conversion) 6,000 units
Started 24,000 units
Ending Work in Process Inventory
(10% complete as to conversion) 8,500 units
Beginning WIP Inventory Costs:
Material $23,400
Conversion 50,607
Current Period Costs:
Material $31,500
Conversion 76,956
All material is added at the start of the process and all finished products are transferred out.
a. How many units were transferred out in November?
b. Assume that weighted average process costing is used. What is the cost per equivalent unit for material?
c. Assume that FIFO process costing is used. What is the cost per equivalent unit for conversion?
Solution Preview
Part 7: The Perry Company
Perry Company. has the following information for November:
Beginning Work in Process Inventory
(70% complete as to conversion) 6,000 units
Started 24,000 units
Ending Work in Process Inventory
(10% complete as to conversion) 8,500 units
Beginning WIP Inventory Costs:
Material $23,400
Conversion 50,607
Current Period Costs:
Material $31,500
Conversion 76,956
All material is ...
Solution Summary
Soltuion shows calculations of number of units transferred out and cost per equivalent unit under weighted average process costing and FIFO.
Management Accounting: job-costing system, process costing, job-order system. ... Explain. 2. What type of company would use a process costing system? ...
... Step 1 The accounting differences in processes costing versus job ... These making costs can be used to bill ... In process costing there is accumulation of costs for ...
... EQUATIONS FOR CAPITAL BUDGET PROCESS: FC 1. Break Even Point: BE = , where FC = fixed costs, VC = variable costs ( P − VC ) per unit, and P = Price per unit 2 ...
... These forms are processed by employees in your department. ... Upgrading this process to a state of the art ... by 7 individuals and reduce order processing time by 50 ...
... 2-Briefly describe the planning process. ... the volume and management variances on the cost side. ... Details of budgeting and planning processes, different types of ...
... time, arrival date and time, and roundtrip price are communicated ... (external entities, data stores, processes, and data ... Inquiry Process: The desired travel date ...
... Understand the processes involved in cost budgeting and ... It manages the process from request, through reimbursement, to post-spend processing. ...
... None Removal of batch processing and periodic ... of Applicable to administrative processes with rela ... by mail order distributors, mortgage process- Discussion ing ...
