2 Arsenio Company manufactures a single product that goes through two processes, mixing and cooking. The following data pertain tothe mixing department for August:Work-in-process inventory, August 1Conversion: 90% completeWork-in-process inventory, August 31Conversion: 50% completeUnits startedUnits completed and transferred outCostsWork-in-process inventory, August 1Material XMaterial YConversionCosts added during AugustMaterial XMaterial YConversion37, 000 units30, 000 units63,000?$ 61,90084,400118, 470151, 50090, 600145, 030Material X is added at the beginning of work in the mixing department. Material Y is also added in the mixing department, but not untilunits are 80% complete with regard to conversion. Conversion costs are incurred uniformly during the process. The company uses theweighted-average cost method.Required:1. & 2. Calculate the equivalent units and costs per equivalent unit of material X, material Y, and conversion for the mixing department.3. Calculate the cost of units transferred out.4. Calculate the cost of the ending Work-in-Process Inventory.

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Description: 2 Arsenio Company manufactures a single product that goes through two processes, mixing and cooking. The following data pertain tothe mixing department for August:Work-in-process inventory, August 1Conversion: 90% completeWork-in-process inventory, A

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Arsenio Company manufactures a single product that goes through two processes, mixing and cooking. The following the mixing department for August: Work-in-process inventory, August 1 Conversion: 90% complete Work-in-process inventory, August 31 Conversion: 50% complete Units started Units completed and transferred out Costs Work-in-process inventory, August 1 Material X Material Y Conversion Costs added during August 37,000 units 30, 000 units 63,000 ? $ 61,900 84, 400 118, 470

Arsenio Company manufactures a single product that goes through two processes, mixing and cooking. The following the mixing department for August: Work-in-process inventory, August 1 Conversion: 90% complete Work-in-process inventory, August 31 Conversion: 50% complete Units started Units completed and transferred out Costs Work-in-process inventory, August 1 Material X Material Y Conversion Costs added during August 37,000 units 30, 000 units 63,000 ? $ 61,900 84, 400 118, 470

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter6: Process Costing

Section: Chapter Questions

Problem 16E: Heap Company manufactures a product that passes through two processes: Fabrication and Assembly. The...

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