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e. A cost reconciliation Problem 6.36 Weighted Average Method, Journal Entries Muskoge Company uses a process-costing system. The company manufactures a product that is processed in two departments: Molding and Assembly. In the Molding Department, direct mate- rials are added at the beginning of the process; in the Assembly Department, additional materials are added at the end of the process. In both departments, conversion costs are incurred JECTIVE 156 uniformly throughout the process. As work is completed, it is transferred out. The following table summarizes the production activity and costs for February: Molding Assembly Beginning inventories: Physical units 10,000 8,000 Costs: $ 45,200 Transferred in Direct materials Conversion costs $ 22,000 $ 13,800 $ 16,800 Current production: Units started ? 25,000 30,000 35,000 Units transferred out Costs: Transferred in Direct materials Conversion costs $ 56,250 $103,500 $ 39,550 $136,500 Percentage of completion: Beginning inventory Ending inventory 40% 50% 80 50 Required: 1. Using the weighted average method, prepare the following for the Molding Department: a. A physical flow schedule b. An equivalent units calculation Calculation of unit costs. Round to four decimal places. d. Cost of ending work in process and cost of goods transferred out C. e. A cost reconciliation 2. Prepare journal entries that show the flow of manufacturing costs for the Molding Depare ment. Materials are added at the beginning of the process. 3. Repeat Requirements 1 and 2 for the Assembly Department. VE 246 Problem 6.37 FIFO Method, Two-Department Analysis Refer to the data in Problem 6.36. Required: Repeat the requirements in Problem 6.36 using the FIFO method

e. A cost reconciliation Problem 6.36 Weighted Average Method, Journal Entries Muskoge Company uses a process-costing system. The company manufactures a product that is processed in two departments: Molding and Assembly. In the Molding Department, direct mate- rials are added at the beginning of the process; in the Assembly Department, additional materials are added at the end of the process. In both departments, conversion costs are incurred JECTIVE 156 uniformly throughout the process. As work is completed, it is transferred out. The following table summarizes the production activity and costs for February: Molding Assembly Beginning inventories: Physical units 10,000 8,000 Costs: $ 45,200 Transferred in Direct materials Conversion costs $ 22,000 $ 13,800 $ 16,800 Current production: Units started ? 25,000 30,000 35,000 Units transferred out Costs: Transferred in Direct materials Conversion costs $ 56,250 $103,500 $ 39,550 $136,500 Percentage of completion: Beginning inventory Ending inventory 40% 50% 80 50 Required: 1. Using the weighted average method, prepare the following for the Molding Department: a. A physical flow schedule b. An equivalent units calculation Calculation of unit costs. Round to four decimal places. d. Cost of ending work in process and cost of goods transferred out C. e. A cost reconciliation 2. Prepare journal entries that show the flow of manufacturing costs for the Molding Depare ment. Materials are added at the beginning of the process. 3. Repeat Requirements 1 and 2 for the Assembly Department. VE 246 Problem 6.37 FIFO Method, Two-Department Analysis Refer to the data in Problem 6.36. Required: Repeat the requirements in Problem 6.36 using the FIFO method

Managerial Accounting
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter3: Process Cost Systems
Section: Chapter Questions
Problem 21E: The Converting Department of Tender Soft Tissue Company uses the weighted average method and had...
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e. A cost reconciliation Problem 6.36 Weighted Average Method, Journal Entries Muskoge Company uses a process-costing system. The company manufactures a product that is processed in two departments: Molding and Assembly. In the Molding Department, direct mate- rials are added at the beginning of the process; in the Assembly Department, additional materials are added at the end of the process. In both departments, conversion costs are incurred JECTIVE 156 uniformly throughout the process. As work is completed, it is transferred out. The following table summarizes the production activity and costs for February: Molding Assembly Beginning inventories: Physical units 10,000 8,000 Costs: $ 45,200 Transferred in Direct materials Conversion costs $ 22,000 $ 13,800 $ 16,800 Current production: Units started ? 25,000 30,000 35,000 Units transferred out Costs: Transferred in Direct materials Conversion costs $ 56,250 $103,500 $ 39,550 $136,500 Percentage of completion: Beginning inventory Ending inventory 40% 50% 80 50 Required: 1. Using the weighted average method, prepare the following for the Molding Department: a. A physical flow schedule b. An equivalent units calculation Calculation of unit costs. Round to four decimal places. d. Cost of ending work in process and cost of goods transferred out C. e. A cost reconciliation 2. Prepare journal entries that show the flow of manufacturing costs for the Molding Depare ment. Materials are added at the beginning of the process. 3. Repeat Requirements 1 and 2 for the Assembly Department. VE 246 Problem 6.37 FIFO Method, Two-Department Analysis Refer to the data in Problem 6.36. Required: Repeat the requirements in Problem 6.36 using the FIFO method
Transcribed Image Text:e. A cost reconciliation Problem 6.36 Weighted Average Method, Journal Entries Muskoge Company uses a process-costing system. The company manufactures a product that is processed in two departments: Molding and Assembly. In the Molding Department, direct mate- rials are added at the beginning of the process; in the Assembly Department, additional materials are added at the end of the process. In both departments, conversion costs are incurred JECTIVE 156 uniformly throughout the process. As work is completed, it is transferred out. The following table summarizes the production activity and costs for February: Molding Assembly Beginning inventories: Physical units 10,000 8,000 Costs: $ 45,200 Transferred in Direct materials Conversion costs $ 22,000 $ 13,800 $ 16,800 Current production: Units started ? 25,000 30,000 35,000 Units transferred out Costs: Transferred in Direct materials Conversion costs $ 56,250 $103,500 $ 39,550 $136,500 Percentage of completion: Beginning inventory Ending inventory 40% 50% 80 50 Required: 1. Using the weighted average method, prepare the following for the Molding Department: a. A physical flow schedule b. An equivalent units calculation Calculation of unit costs. Round to four decimal places. d. Cost of ending work in process and cost of goods transferred out C. e. A cost reconciliation 2. Prepare journal entries that show the flow of manufacturing costs for the Molding Depare ment. Materials are added at the beginning of the process. 3. Repeat Requirements 1 and 2 for the Assembly Department. VE 246 Problem 6.37 FIFO Method, Two-Department Analysis Refer to the data in Problem 6.36. Required: Repeat the requirements in Problem 6.36 using the FIFO method
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