Purchase Solution

Inventory valuation Weighted Average Method

Not what you're looking for?

Ask Custom Question

The final processing dept in Mary's production facility began the year with no work in process inventories. During the year, 210,000 units were transferred infromthe prior processing department and 200,000 units were completed and sold. Costs transferred in from the prior department totaled $39,375,000. No materials are added in the final processing department. A total of $20,807,500 of conversion cost was incurred in the final processing department during the year.

1. It is estimated that the units in ending inventory in the final processing department were 30% complete with respect to the conversion costs of the final procssing dept. Is the estimate of the percentage completion is used, what would be the Cost of Goods Sold for the year?
2. What percentage completion would result in increasing reported net operating income by $200,000 over the net operating income that would be reported if the 30% figure were used?

Purchase this Solution

Solution Summary

Excel file contains valuation of inventory using Weighted Average Method and calculations of cost of goods sold.

Purchase this Solution


Free BrainMass Quizzes
Managing the Older Worker

This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce

Learning Lean

This quiz will help you understand the basic concepts of Lean.

Marketing Research and Forecasting

The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.

Lean your Process

This quiz will help you understand the basic concepts of Lean.

Cost Concepts: Analyzing Costs in Managerial Accounting

This quiz gives students the opportunity to assess their knowledge of cost concepts used in managerial accounting such as opportunity costs, marginal costs, relevant costs and the benefits and relationships that derive from them.