8:06Problem 6A-7 CloverSweet Inc. manufactures aproduct that goes through two departments priorto completion. The information shown in the tablebelow is available about work in the firstdepartment, the Mixing Department, during June:Work in process, beginningStarted into productionCompleted and transferred outWork in process, endingWork in process, beginningCost added during June.Equivalent units of productionMaterials ConversionCost of ending work in process inventoryCost of units transferred outRequired:Assume that the company uses the FIFO method.1. Determine the equivalent units for June for the first process.Cost ReconciliationCosts to be accounted forCost of beginning work in process inventoryCosts added to production during the periodTotal cost to be accounted forCosts accounted for as follows:Cost of ending work in process inventoryCosts of units transferred outTotal cost accounted forUnits64,000427,000363,000128,000$ 24,500$477,000$Materials Conversion$ 22,000$124,0002. Compute the costs per equivalent unit for June for the first process. (Round your answers to 3 decimal places.)SPercentage CompletedMaterials Conversion60825%Cost per equivalent unit3. Determine the total cost of ending work in process inventory and the total cost of units transferred to the next processn June. (Round intermediate calculations to 3 decimal places.)Materials Conversion050%Materials04. Prepare a report that reconciles the total costs assigned to the ending work in process inventory and the unitstransferred out with the costs in beginning inventory and costs added during the period. (Round intermediatecalculations to 3 decimal places)30%TotalConversion

The equivalent units are calculated on the basis of the percentage of the work completed during the…

Problem 6A-7 CloverSweet Inc. manufactures a product that goes through two departments prior to completion. The information shown in the table below is available about work in the first department, the Mixing Department, during June: Work in process, beginning Started into production Completed and transferred out Work in process, ending Work in process, beginning Cost added during June Equivalent units of production Materials Conversion Units 64,000 427,000 363,000 128,000 Required: Assume that the company uses the FIFO method. 1. Determine the equivalent units for June for the first process. Cost of ending work in proces verty Cost of units transferred out Percentage Completed Materials Conversion 60% 258 Cost Reconciation 50% Materials Conversion $ 24,500 $ 22,000 $477,000 $124,000 Costs to be accounted for Cost of beginning work in process inventory Costs added to production during the period Materials 2. Compute the costs per equivalent unit for June for the first process. (Round your answers to 3 decimal places) 30% Cost per equivalent unit 3. Determine the total cost of ending work in process inventory and the total cost of units transferred to the next process n June. (Round intermediate calculations to 3 decimal places) Materials Conversion Conversion 4. Prepare a report that reconciles the total costs assigned to the ending work in process inventory and the units bransferred out with the costs in beginning inventory and costs added during the period. (Round intermediate calculations to 3 decimal places)

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 16E: Cost of production report The debits to Work in ProcessRoasting Department for Morning Brew Coffee...