Physical flow and equivalent units including spoilage:manufacturer Proudly Paper Corporation manufactures cardboard boxes. In the year justcompleted the following resultsUnitsPercentage of completionwith respect to conversionWork in process, 1 January2500050%Work in process, 31 Disember 2000040%During the year, 100 000 boxes were started in production. Of these, 10000 were rejected at thequality Inspection process, which occurs two-thirds of the way through the production process.All materials are added at the beginning of the production process and conversion costs areincurred uniformly throughout the process.Required:1. Prepare a schedule analysing the physical flow of units and calculating the equivalent units ofboth direct material and conversion. Use weighted average process costing.2. How would your approach differ using the FIFO method?

Name: Physical flow and equivalent units including spoilage:manufacturer Pr
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Description: Physical flow and equivalent units including spoilage:manufacturer Proudly Paper Corporation manufactures cardboard boxes. In the year justcompleted the following resultsUnitsPercentage of completionwith respect to conversionWork in process, 1 Janua

Process costing: Process costing is one of the cost accounting methods. It is used when the company…

Business

Accounting

Required: 1. Prepare a schedule analysing the physical flow of units and calculating the equivalent units of both direct material and conversion. Use weighted average process costing. 2. How would your approach differ using the FIFO method?

Required: 1. Prepare a schedule analysing the physical flow of units and calculating the equivalent units of both direct material and conversion. Use weighted average process costing. 2. How would your approach differ using the FIFO method?

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter13: Lean Manufacturing And Activity Analysis

Section: Chapter Questions

Problem 5BE

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