Assume that the following events occurred at a division of Generic Electric for March of the current year: 1. Purchased $90 million in direct materials. 2. Incurred direct labor costs of $56 million. 3. Determined that manufacturing overhead was $76 million. 4. Transferred 80 percent of the materials purchased to work-in-process. 5. Completed work on 80 percent of the work-in-process. Costs are assigned equally across all work-in-process. 6. The inventory accounts have no beginning balances. All costs incurred were debited to the appropriate account and credited to Accounts Payable. Required: Give the amounts for the following items in the Work-in-process account: (Do not round your intermediate calculations. Enter your final answers in millions rounded to 2 decimal places.) Amount Transfers-in (TI) Millions Transfers-out (TO) Millions Ending balance (EB) Millions
Assume that the following events occurred at a division of Generic Electric for March of the current year: 1. Purchased $90 million in direct materials. 2. Incurred direct labor costs of $56 million. 3. Determined that manufacturing overhead was $76 million. 4. Transferred 80 percent of the materials purchased to work-in-process. 5. Completed work on 80 percent of the work-in-process. Costs are assigned equally across all work-in-process. 6. The inventory accounts have no beginning balances. All costs incurred were debited to the appropriate account and credited to Accounts Payable. Required: Give the amounts for the following items in the Work-in-process account: (Do not round your intermediate calculations. Enter your final answers in millions rounded to 2 decimal places.) Amount Transfers-in (TI) Millions Transfers-out (TO) Millions Ending balance (EB) Millions
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter2: Basic Cost Management Concepts
Section: Chapter Questions
Problem 21E: Ellerson Company provided the following information for the last calendar year: During the year,...
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Question
Assume that the following events occurred at a division of Generic Electric for March of the current year:
- 1. Purchased $90 million in direct materials.
- 2. Incurred direct labor costs of $56 million.
- 3. Determined that manufacturing
overhead was $76 million. - 4. Transferred 80 percent of the materials purchased to work-in-process.
- 5. Completed work on 80 percent of the work-in-process. Costs are assigned equally across all work-in-process.
- 6. The inventory accounts have no beginning balances. All costs incurred were debited to the appropriate account and credited to Accounts Payable.
Required:
Give the amounts for the following items in the Work-in-process account: (Do not round your intermediate calculations. Enter your final answers in millions rounded to 2 decimal places.)
|
Amount |
|
Transfers-in (TI) |
|
Millions |
Transfers-out (TO) |
|
Millions |
Ending balance (EB) |
|
Millions |
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