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# Shenkel total costs transferred, Sumter cost conversion...

See attached file for proper format of table.

4. In September, one of the processing departments at Shenkel Corporation had beginning work in process inventory of \$20,000 and ending work in process inventory of \$32,000. During the month, the cost of units transferred out from the department was \$298,000. In the department's cost reconciliation report for September, the total cost accounted for would be:

a. \$318,000

b. \$350,000

c. \$330,000

d. \$52,000

5. Sumter Company uses the weighted-average method in its process costing system. The following data pertain to operations in the first processing department for a recent month:

Work in process, beginning:
Units in process 7,000
Percent complete with respect to materials 50%
Percent complete with respect to conversion 10%
Costs in the beginning inventory:
Materials cost \$77,700
Conversion cost \$2,800
Units started during the month ?
Units completed and transferred out during the month 71,600
Costs added to production during the month:
Materials cost \$298,620
Conversion cost \$197,400
Work in process, ending:
Units in process 8,000
Percent complete with respect to materials 85%
Percent complete with respect to conversion 15%

Note: Your answers may differ from those offered below due to rounding error. Select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least two decimal places.
What was the cost per equivalent unit for conversion during the month?

a. \$3.7

b. \$2.75

c. \$6.65

d. \$5.15

6. Bosril Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 580 units. The costs and percentage completion of these units in beginning inventory were:

Cost Percent Complete
Materials costs \$4,600 75%
Conversion costs \$1,300 25%

A total of 6,400 units were started and 3,200 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month:

Materials costs \$95,300
Conversion costs \$78,983

The ending inventory was 80% complete with respect to materials and 35% complete with respect to conversion costs.

Note: Your answers may differ from those offered below due to rounding error. In all cases, select the answer that is the closest to the answer you computed. To reduce rounding error, carry out all computations to at least two decimal places.

The cost per equivalent unit for conversion costs for the first department for the month is closest to:

a. \$17.75

b. \$25

c. \$17.46

d. \$12

#### Solution Preview

Your tutorial is attached in Excel (click in cells to see ...

#### Solution Summary

Your tutorial is attached in Excel (click in cells to see computations and formula). Each problem is a separate tab. This is now a template for use with other problems. I included an analysis for journal entries (costs assigned to transfers and ending WIP).

\$2.19