PROBLEM 16: Cost of Production ReportSpiderman Corp. has two departments. The following are the data of the twodepartments.QuantityBeginning WIP October 1Incomplete as to materiaComplete as to conversion costDepartmant 132,500Department 222,50030%40%20%75%Units started in OctoberUnits Completed in OctoberEnding WIP October 31Complete as to materialIncomplete as to conversion cost120,000112,50027,50060%0%80%60%CostsBeginning WIPTransferred in287,500120,00042,500Materials200,000187,500ConversionCurrent PeriodTransferred inMaterialsConversion875,000500,000125,000300,000Required:Compute the ending inventory costs for the two departments.• Using Weighted methoda. Compute the EUP of the two departments.b. Compute the unit cost of the two departments.c. Compute the costs transferred to out the two departments.d. Compute the ending inventory costs for the two departments.

Given that, For Department 1 : On October 1, Beginning inventory = 32500 units Incomplete as…

PROBLEM 16: Cost of Production Report Spiderman Corp. has two departments. The following are departments. Quantity Beginning WIP October 1 Incomplete as to material Complete as to conversion cost Departmont 1 32,500 20% 75% Units started in October Units Completed in October Ending WIP October 31 Complete as to material Incomplete as to conversion cost 120,000 ? 27,500 60% 80% Costs Beginning WIP Transferred in Materials 200,000 187,500 Conversion Current Period Transferred in Materials Conversion 875,000 500,000 Required: Compute the ending inventory costs for the two department -Using Weighted method a. Compute the EUP of the two departments. b. Compute the unit cost of the two departments. c. Compute the costs transferred to out the two departn d. Compute the ending inventory costs for the two depat

PROBLEM 16: Cost of Production Report Spiderman Corp. has two departments. The following are departments. Quantity Beginning WIP October 1 Incomplete as to material Complete as to conversion cost Departmont 1 32,500 20% 75% Units started in October Units Completed in October Ending WIP October 31 Complete as to material Incomplete as to conversion cost 120,000 ? 27,500 60% 80% Costs Beginning WIP Transferred in Materials 200,000 187,500 Conversion Current Period Transferred in Materials Conversion 875,000 500,000 Required: Compute the ending inventory costs for the two department -Using Weighted method a. Compute the EUP of the two departments. b. Compute the unit cost of the two departments. c. Compute the costs transferred to out the two departn d. Compute the ending inventory costs for the two depat

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 13E: Errors in equivalent unit computation Napco Refining Company processes gasoline. On June 1 of the...

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(Appendix 4B) Sequential Method of Support Department Cost Allocation Refer to Exercise 4-51 for data. Now assume that Stevenson uses the sequential method to allocate support department costs to the operating divisions. General Factory is allocated first in the sequential method for the company. Required: 1. Calculate the allocation ratios for Power and General Factory. (Note: Carry these calculations out to four decimal places.) 2. Allocate the support service costs to the operating divisions. (Note: Round all amounts to the nearest dollar.) 3. Assume divisional overhead rates are based on direct labor hours. Calculate the overhead rate for the Battery Division and for the Small Motors Division. (Note: Round overhead rates to the nearest cent.)
Appendix Absorption costing income statement On June 30, the end of the first month of operations, Tudor Manufacturing Co. prepared the following income statement, based on the variable existing concept: Sales (420,000 units) 7,450,000 Variable cost of goods sold: Variable cost of goods manufactured (500,000 units x 14 per unit) 7,000,000 Less ending inventory (80,000 units x 14 per unit) 1,120,000 Variable cost of goods sold 5,880,000 Manufacturing margin 1,570,000 Variable selling and administrative expenses 80,000 Contribution margin 1,490,000 Fixed costs: Fixed manufacturing costs 160,000 Fixed selling and administrative expenses 75,000 235,000 Income from operations 1,255,000 a. Prepare an absorption costing income statement. b. Reconcile the variable costing income from operations of 1,255,000 with the absorption costing income from operations determined in (a).
Refer to the data in Problem 6.31. Assume that the FIFO method is used. Required: 1. Prepare a physical flow schedule. 2. Calculate equivalent units of production for direct materials and conversion costs. 3. Compute unit cost. Round to three decimal places. 4. Calculate the cost of goods transferred to Painting at the end of the month. Calculate the cost of ending inventory.
Cost of quality report A. Using the information in Exercise 15, identify the cost of quality classification for each activity. B. Prepare a cost of quality report. Assume sales for the period were 4,000,000. Round percentages to one decimal place. C. Interpret the cost of quality report.
FIFO Method, Single Department Analysis, One Cost Category Refer to the data in Problem 6.33. Required: Prepare a cost of production report for the Fabrication Department for December using the FIFO method of costing.
A production department within a company received materials of $10,000 and conversion costs of $10,000 from the prior department. It added material of $27,200 and conversion costs of $53,000. The equivalent units are 20,000 for material and 18,000 for conversion. What is the unit cost for materials and conversion?
Errors in equivalent unit computation Napco Refining Company processes gasoline. On June 1 of the current year, 6,400 units were completed in the Blending Department. During June, 55,000 units entered the Blending Department from the Refining Department. During June, the units in process at the beginning of the month were completed. Of the 55,000 units entering the department, all were completed except 5,200 units that were completed. The equivalent units for conversion costs for June for the Blending Department were computed as follows: List the errors in the computation of equivalent units for conversion costs for the Blending Department for June.
Cost of quality and value-added/non-value-added reports for a service company A. Using the information in Exercise 17, identify the cost of quality classification for each activity and whether the activity is value-added or non-value-added. B. Prepare a cost of quality report. Assume that sales are 3,000,000. (Round percentages to one decimal place.) C. Prepare a value-added/non-value-added analysis. D. Interpret the information in (B) and (C).