The Hiei Company has a cycle time of 1.5days, uses a Raw and In Process (RIP) account and charges all conversion costs to cost of goods sold. At the end of each month, all inventories are counted, the conversion costs components are estimated, and inventory balances are adjusted. Raw material costs is backflushed from RIP to Finished Goods. The following information is for August RIP, beginning including P600 of conversion cost P5,500 6,000 Finished goods, beginning including P2,000 of conversion cost Raw materials received 173,000 RIP, ending per physical count, excluding P850 conversion cost estimate 5,350 3,350 Finished goods, ending per physical count, excluding P1,550 conversion cost estimate
The Hiei Company has a cycle time of 1.5days, uses a Raw and In Process (RIP) account and charges all conversion costs to cost of goods sold. At the end of each month, all inventories are counted, the conversion costs components are estimated, and inventory balances are adjusted. Raw material costs is backflushed from RIP to Finished Goods. The following information is for August RIP, beginning including P600 of conversion cost P5,500 6,000 Finished goods, beginning including P2,000 of conversion cost Raw materials received 173,000 RIP, ending per physical count, excluding P850 conversion cost estimate 5,350 3,350 Finished goods, ending per physical count, excluding P1,550 conversion cost estimate
Chapter5: Process Costing
Section: Chapter Questions
Problem 10PB: The packaging department began the month with 750 units that were 100% complete with regard to...
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How much is backflushed from Finished Goods to Cost of Goods Sold?
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