Data concerning the first processing department for the most recent month are listed below: Beginning work in process inventory: Units in beginning work in process inventory 500 Materials costs $7,600
ending inventory 300 Cost of ending inventory = Units in ending inventory * average cost per unit Cost of ending inventory = 300 * $1.31 Cost of ending inventory = $393 (Because of rounding, answer b is correct
Tamar Co: Process cost summary; equivalent units; cost estimates Problem 3-5A: Process cost summary; equivalent units; cost estimates L.O. P4, P5 Tamar Co. manufactures a single product in one department. All direct materials are added at the beginning of the manufacturing process. Direct labor and overhead are added evenly throughout the process. Tamar uses monthly reporting periods for its weighted average process cost accounting. During May, the company completed and transferred 22,400 units of product to finished goods inventory. Its 3,200 units of beginning goods in process consisted of $21,600 of direct materials, $134,300 of direct labor, and $99,640 of factory overhead. It has 2,600 units (90% complete with respect to direct materials and 60% complete with respect to direct labor and overhead) in process at month-end. After entries to record direct materials, direct labor, and overhead for May, the company's Goods in Process Inventory account follows.
After entries to record direct materials, direct labor, and overhead for May, the company's Goods in Process Inventory account follows. Goods in Process Inventory Acct.
receivables 275 350 315 405 Sales 700 630 810 930 Cash collections 625 665 720 870 Ending receivables 350 315 405 465 Collection period of 60 days Q1 Q2 Q3 Q4 Beginning receivables 275 467 315 405 Sales 700 630
costs added during the month $200,000 Ending work in process inventory: Units in ending work in process inventory 600 Percent complete with respect to materials 80% Percent complete with respect to conversion 50% Note: Your answers may differ
Quantity information is obtained from manufacturing records and includes the following: Beginning inventory 600units (60%complete as material,53%complete as to conversion) Current period units started 4,000 Ending inventory
The beginning and ending inventory is fully complete as to materials costs. How much are equivalent units for conversion costs if the weighted average method is used?
is 100% complete in ending inventory.
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
Assumption: The ending inventory is assumed as 200 The current production level is 500 ASSUMPTION: Inventory carrying cost for a month is applicable on the beginning inventory for that month A worker can produce between 38