Problem no. 2 Fresh Seasons is a contract manufacturer for Delectable Dressing Company. Fresh Seasons uses a weighted average process costing system to account for its salad dressing production. All ingredients are added at the start of the process. Delectable provides reusable vats to Fresh Seasons for the completed product to be shipped to Delectable for bottling, so Fresh Seasons incurs no packaging costs. April 2010 production and cost information for Fresh Seasons is as follows: Gallons of dressing in beginning WIP Inventory Gallons completed during April Gallons of dressing in ending WIP Inventory Costs of beginning WIP Inventory Direct material Direct labor Overhead Costs incurred in April Direct material Direct labor for labor and overhead: $1,136,025 451,450 Overhead 723,195 April beginning and ending WIP inventories had the following percentages of completion Direct labor Overhead April 1 55% 70% 36,000 242,000 23,500 April 30 15% 10% $183,510 98,526 78,273

Problem no. 2 Fresh Seasons is a contract manufacturer for Delectable Dressing Company. Fresh Seasons uses a weighted average process costing system to account for its salad dressing production. All ingredients are added at the start of the process. Delectable provides reusable vats to Fresh Seasons for the completed product to be shipped to Delectable for bottling, so Fresh Seasons incurs no packaging costs. April 2010 production and cost information for Fresh Seasons is as follows: Gallons of dressing in beginning WIP Inventory Gallons completed during April Gallons of dressing in ending WIP Inventory Costs of beginning WIP Inventory Direct material Direct labor Overhead Costs incurred in April Direct material Direct labor for labor and overhead: $1,136,025 451,450 Overhead 723,195 April beginning and ending WIP inventories had the following percentages of completion Direct labor Overhead April 1 55% 70% 36,000 242,000 23,500 April 30 15% 10% $183,510 98,526 78,273

Name: Problem No. 2 (Cost Accounting) Determine the following using the weig
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Description: Problem No. 2 (Cost Accounting) Determine the following using the weighted average (WA) method of process costing 1. Equivalent units of production for materials and conversion cost2. unit costs, and;3. Inventory values Problem no. 2Fresh Seasons is

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter6: Process Costing

Section: Chapter Questions

Problem 45E: Cassien Inc. manufactures products that pass through two or more processes. During June, equivalent...

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