Managerial Accounting
16th Edition
ISBN: 9781259995484
Author: Ray Garrison
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Pant Risers manufactures bands for self-dressing assistive devices for mobility-impaired individuals. Manufacturing is a one-step process where the bands are cut and sewn. This is the information related to this year’s production:
Units to Account For
Units
Materials
Conversion
Beginning work in process inventory
500
500
250
Started
21,500
Total units to accounted for
22,000
Ending inventory was 100% complete as to materials and 80% complete as to conversion, and the total materials cost is $60,500 and the total conversion cost is $38,010.
Using the weighted-average method, what are the unit costs if the company transferred out 17,000 units? If required, round final answers to two decimal places.
Costper unit
Materials
$fill in the blank 1
Conversion
$fill in the blank 2
Using the weighted-average method, what is the value of the inventory transferred out and the value of the ending WIP inventory?
Inventory transferred out
$fill in the blank 3…
please answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image)
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[The following information applies to the questions displayed below.]The first production department of Stone Incorporated reports the following for April.
Units
Direct Materials
Conversion
Percent Complete
Percent Complete
Beginning work in process inventory
60,000
60%
40%
Units started this period
322,000
Completed and transferred out
300,000
Ending work in process inventory
82,000
80%
30%
The production department had the cost information below.
Beginning work in process inventory
Direct materials
$ 118,472
Conversion
48,594
$ 167,066
Costs added this period
Direct materials
850,368
Conversion
649,296
1,499,664
Total costs to account for
$ 1,666,730
(a) Calculate the costs per…
eBook
Given the following information, prepare a production report with materials added at the beginning and ending work in process inventory being 20% complete with regard to conversion costs.
Costs to Account for
Units to Account for
Beginning inventory: materials
$5,000
Beginning work in process
3,000
Beginning inventory: conversion
1,100
Units started into production
85,000
Direct material
25,620
Transferred out
83,000
Direct labor
35,000
Applied overhead
12,500
Transferred-in materials
8,100
Transferred-in conversion
10,200
Total costs to account for
$97,520
Enter all amounts as positive values. If required round "Cost per unit" answers to two decimal places.
Production Report
Completed and transferred out
fill in the blank 1
Ending work in process
fill in the blank 2
Total units to account for
fill in the blank 3
Work in process completion percent
100%
20%
Material Units…
Chapter 4 Solutions
Managerial Accounting
Ch. 4.A - EXERCISE 4A-1 Computation of Equivalent Units of...Ch. 4.A - EXERCISE 4A-2 Cost per Equivalent Unit-FIFO Method...Ch. 4.A - EXERCISE 4A-3 Assigning Costs to Units-FIFO Method...Ch. 4.A - EXERCISE 4A-4 Cost Reconciliation Report-EIFO...Ch. 4.A - EXERCISE 4A-5 Computation of Equivalent Units of...Ch. 4.A - EXERCISE 4A-6 Equivalent Units of Production-FIFO...Ch. 4.A - EXERCISE 4A-7 Equivalent Units of Production and...Ch. 4.A -
EXERCISE 4A-8 Equivalent Units of Production—FIFO...Ch. 4.A - EXERCISE 4A-9 Equivalent Units; Equivalent Units...Ch. 4.A - PROBLEM 4A-10 Equivalent Units of Production;...
Ch. 4.A - Prob. 11PCh. 4.A - Prob. 12CCh. 4.B - Prob. 1ECh. 4.B - EXERCISE 4B-2 Step-Down Method LO4-11 Madison Park...Ch. 4.B - Prob. 3ECh. 4.B - EXERCISE 4B-4 Direct Method LO4-10 Refer to the...Ch. 4.B - PROBLEM 4B-5 Step-Down Method L04-11 Woodbury...Ch. 4.B - PROBLEM 4B-6 Step-Down Method versus Direct...Ch. 4.B - CASE 4B-7 Step-Down Method versus Direct Method...Ch. 4 - Prob. 1QCh. 4 - In what ways are job-order and process costing...Ch. 4 - Why is cost accumulation simpler in a process...Ch. 4 - How many Work in Process accounts are maintained...Ch. 4 - Prob. 5QCh. 4 - Prob. 6QCh. 4 - Prob. 7QCh. 4 - Prob. 8QCh. 4 - Prob. 1AECh. 4 - This exercise relates to the Double Diamond Skis’...Ch. 4 - This exercise relates to the Double Diamond Skis’...Ch. 4 - Clopack Company manufactures one product that goes...Ch. 4 - Clopack Company manufactures one product that goes...Ch. 4 - Clopack Company manufactures one product that goes...Ch. 4 - Clopack Company manufactures one product that goes...Ch. 4 - Clopack Company manufactures one product that goes...Ch. 4 -
Clopack Company manufactures one product that...Ch. 4 -
Clopack Company manufactures one product that...Ch. 4 -
Clopack Company manufactures one product that...Ch. 4 - Clopack Company manufactures one product that goes...Ch. 4 - Prob. 10F15Ch. 4 - Prob. 11F15Ch. 4 - Prob. 12F15Ch. 4 -
Clopack Company manufactures one product that...Ch. 4 - Prob. 14F15Ch. 4 - Prob. 15F15Ch. 4 - Prob. 1ECh. 4 - Prob. 2ECh. 4 - Prob. 3ECh. 4 - EXERCISE 4-4 Assigning Costs to...Ch. 4 - EXERCISE 4-5 Cost Reconciliation...Ch. 4 - Prob. 6ECh. 4 - Prob. 7ECh. 4 - Prob. 8ECh. 4 -
EXERCISE 4-9 Equivalent Units and Cost per...Ch. 4 - Prob. 10ECh. 4 - Prob. 11ECh. 4 - Prob. 12ECh. 4 - Prob. 13PCh. 4 - Prob. 14PCh. 4 - Prob. 15PCh. 4 - PROBLEM 4-16 Comprehensive...Ch. 4 - Prob. 17PCh. 4 - Prob. 18PCh. 4 - Prob. 19CCh. 4 - (
CASE 4-20 Ethics and the Manager, Understanding...
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- Proteger Company manufactures insect repellant lotion. The Mixing Department, the first process department, mixes the chemicals required for the repellant. The following data are for the current year: Direct materials are added at the beginning of the process. Ending inventory is 95 percent complete with respect to direct labor and overhead. The cost of goods transferred out for the year is: a. 4,471,200 b. 3,571,200 c. 3,780,000 d. 3,024,000arrow_forwardUse the following information for Brief Exercises 4-34 and 4-35: Sanjay Company manufactures a product in a factory that has two producing departments, Assembly and Painting, and two support departments, S1 and S2. The activity driver for S1 is square footage, and the activity driver for S2 is number of machine hours. The following data pertain to Sanjay: Brief Exercises 4-35 (Appendix 4B) Sequential Method Refer to the information for Sanjay Company on the previous page. Now assume that Sanjay uses the sequential method to allocate support department costs. S1 is allocated first, then S2. Required: 1. Calculate the cost assignment ratios to be used under the sequential method for S2, Assembly, and Painting. Carry out your answers to four decimal places. 2. Allocate the overhead costs to the producing departments by using the sequential method.arrow_forwardUse the following information for the Quick Study below. (Algo) Skip to question [The following information applies to the questions displayed below.] Carlberg Company has two manufacturing departments, Assembly and Painting. The Assembly department started 12,100 units during November. The following production activity in both units and costs refers to the Assembly department’s November activities. Assembly Department Units Percent Complete for Direct Materials Percent Complete for Conversion Beginning work in process inventory 3,500 60% 40% Units started this period 12,100 Units completed and transferred out 10,500 Ending work in process inventory 5,100 80% 30% Cost of beginning work in process Direct materials $ 1,902 Conversion 1,457 $ 3,359 Costs added this month Direct materials 19,968 Conversion 20,197 40,165 QS 3-16A (Algo) FIFO: Assigning costs to output LO C2 Assign costs to the Assembly department’s output—specifically,…arrow_forward
- Use the following information for the Quick Study below. (Algo) Skip to question [The following information applies to the questions displayed below.] Carlberg Company has two manufacturing departments, Assembly and Painting. The Assembly department started 11,800 units during November. The following production activity in both units and costs refers to the Assembly department’s November activities. Assembly Department Units Percent Complete for Direct Materials Percent Complete for Conversion Beginning work in process inventory 2,500 60% 40% Units started this period 11,800 Units completed and transferred out 9,500 Ending work in process inventory 4,800 80% 30% Cost of beginning work in process Direct materials $ 1,816 Conversion 2,003 $ 3,819 Costs added this month Direct materials 24,864 Conversion 25,347 50,211 QS 3-13 (Algo) Weighted average: Entry to transfer costs LO P4 Prepare the November 30 journal entry to…arrow_forwardWe discuss how to calculate the number of equivalent units and theequivalent cost per unit, and to reconcile the total cost of Work inProcess Inventory using the first-in, first-out (FIFO) method. You alsounderstood how to prepare the process costing production reportusing the first-in, first-out (FIFO) method. Knowledge Check 02Parker Corporation makes candy bars. One of its processing departmentsreported the following information for August. Beginning work in process costsincluded $50,000 in direct materials and $110,000 in conversion cost. A total of$144,000 of direct materials costs and $210,000 in conversion cost wasincurred during the month. Equivalent units totaled 12,000 for direct materialsand 8,000 for conversion cost. Using the first-in, first-out (FIFO) method,Parker's cost per equivalent unit for conversion during August would be:arrow_forwardStem Games manufactures playing cards. It has three departments:Printing, Cutting & Collating, and Wrapping. Transferred-in costs areconsidered materials costs. The following information is availablefor the Wrapping department for the month of October:Beginning work in process(100% complete for materials, 80% complete for conversion)Decks transferred inDecks completed and transferred to Finished Goods InventoryEnding Work in Process(100% complete for materials, 45% complete for conversionCosts:Beginning work in process:Direct materials $ 198,000Conversion cost $ 20,800Costs transferred in $ 1,488,625October costs:Direct materials $ 24,700Conversion costs $ 648,275!Required:1. Reconcile the total Cost to Account for the process.2. Prepare a statement of total cost accounted for the process. reconcile the total cost to account for the process prior period cost direct materials conversion total cost current periods cost total cost to account for…arrow_forward
- Dumbledore Publishing manufacturers wizarding textbooks. They utilize a process costing system to track their manufacturing costs. Information regarding beginning work in process inventory is provided below: Beginning physical units 6,200 units Beginning costs $211,400 The following were incurred during production: Physical units started 5,100 units Direct Materials $46,900 Direct Labor $72,000 Manufacturing Overhead $50,200 At the end of the period, 4,800 physical units remained in progress, at 80% completion. Using the information provided, answer the following questions: Cost to product one unit?arrow_forwardplease answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image) A company is going to use process costing to calculate the cost of its products. The following information has been accumulated: Units Beginning work in process 2,000 Materials 0%, Conversion 20% Units completed and transferred out 10,000 Ending work in process Materials 90%, Conversion 60% 1,800 Beginning inventory cost consists of $2,000 for materials and $3,000 for conversion. The cost per equivalent unit of materials is $4.00 and the cost per equivalent units of conversion is $6.00.What is the amount of material costs that was added during the period using the weighted average method?arrow_forwardDumbledore Publishing manufacturers wizarding textbooks. They utilize a process costing system to track their manufacturing costs. Information regarding beginning work in process inventory is provided below: Beginning physical units 6,200 units Beginning costs $211,400 The following were incurred during production: Physical units started 5,100 units Direct Materials $46,900 Direct Labor $72,000 Manufacturing Overhead $50,200 At the end of the period, 4,800 physical units remained in progress, at 80% completion. Using the information provided, answer the following questions: Costs completed and transferred out?arrow_forward
- Please assist with each step in order to complete and possible workings Thank you Kindly ! Foods of Choice makes a single product using two processes. Quality control check takes place during the process, at which point, rejected units are separated from good units. The following details relate to production for the month of April 2015, for Process 2.(i) Work-in-process, beginning inventory: -0-(ii) Transfer from Process 1: 15,000 units valued at $51.40 each(iii) Other manufacturing costs incurred during April:-Direct material added $513,000-Direct labour $365,000-Manufacturing overhead $211,000(iv) Normal losses were estimated to be 5% of input during the period. Losses from Process 2 are deemed to be scrap, and sold at $40 per unit. (v) At inspection 1,750 units were rejected as scrap. These units had reached the following degree of completion:-Input material 100%-Direct material added 50%-Conversion costs 30%(vi) 12,000 units were completed and transferred to Finished Goods…arrow_forwardA manufacturer has two manufacturing departments, Assembly and Painting. The company uses the FIFO method and it reports the following data. Units completed in the Assembly department are transferred to the Painting department. Units Direct materials Percent Complete Conversion Percent Complete Beginning work in process inventory 75,000 60% 40% Units started this period 900,000 Units completed and transferred out 885,000 Ending work in process inventory 90,000 80% 30% Production cost information for the Assembly department follows. Beginning work in process Direct materials $ 134,400 Conversion 45,900 $ 180,300 Costs added this period Direct materials $ 3,693,600 Conversion 2,690,100 $ 6,383,700 Calculate the equivalent units of production for both direct materials and conversion for the Assembly department.arrow_forwardProduction information shows the following costs and units for the smoothing department in August. Cost Units Work in process Beginning balance: materials $1,550 Beginning units 640 Beginning balance: conversion 2,700 Transferred in 1,810 Materials 7,760 Transferred out 1,870 Labor 14,510 Overhead 6,890 All materials are added at the beginning of the period. The ending work in process is 10% complete as to conversion. What is the value of the inventory transferred to finished goods and the value of the WIP inventory at the end of the month?arrow_forward
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