Bismite Corporation purchases trees from Cheney lumber and processes them up to the split-off point where two products (paper and pencil casings) emerge from the process. The products are then sold to an independent company that markets and distributes them to retail outlets. The following information was collected for the month of October. Trees processed: 340 trees Production paper pencil casings Sales: paper pencil casings 200,000 sheets 200,000 188,000 at $0 10 per page 199,000 at $0.14 per casing The cost of purchasing 340 trees and processing them up to the split-off point to yield 200,000 sheets of paper and 200,000 pencil casings is $14,500 Bismite's accounting department reported no beginning inventory. What are the paper's and the pencil's approximate weighted cost proportions using the sales value at split-off method. respectively? OA. 41.67% and 58.33% B. 48 58% and 51.42% O c. 40.29% and 59.71% OD. 50% and 50% GEIXE

Bismite Corporation purchases trees from Cheney lumber and processes them up to the split-off point where two products (paper and pencil casings) emerge from the process. The products are then sold to an independent company that markets and distributes them to retail outlets. The following information was collected for the month of October. Trees processed: 340 trees Production paper pencil casings Sales: paper pencil casings 200,000 sheets 200,000 188,000 at $0 10 per page 199,000 at $0.14 per casing The cost of purchasing 340 trees and processing them up to the split-off point to yield 200,000 sheets of paper and 200,000 pencil casings is $14,500 Bismite's accounting department reported no beginning inventory. What are the paper's and the pencil's approximate weighted cost proportions using the sales value at split-off method. respectively? OA. 41.67% and 58.33% B. 48 58% and 51.42% O c. 40.29% and 59.71% OD. 50% and 50% GEIXE

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter6: Process Cost Accounting—additional Procedures; Accounting For Joint Products And By-products

Section: Chapter Questions

Problem 12E: Adirondack Bat Co. processes rough timber to obtain three grades of lumber, A, B, and C that are...

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Adirondack Bat Co. processes rough timber to obtain three grades of lumber, A, B, and C that are then made into baseball bats. The company allocates joint costs to the joint products on the basis of the sales value at the split-off point. During the month of May, Adirondack incurred total joint production costs of $300,000 in producing the following: Make the journal entry to transfer the finished lumber to separate work in process inventory accounts for each product. What would be the allocation of the joint costs if the company were to use the physical measure method?
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. 3,024,000
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Lui Coffee Company roasts and packs coffee beans. The process begins by placing coffee beans into the Roasting Department. From the Roasting Department, coffee beans are then transferred to the Packing Department. The following is a partial work in process account of the Roasting Department at March 31: ACCOUNT ACCOUNT NO. Date Item Debit Credit BalanceDebit BalanceCredit March 1 Bal., 7,500 units, 4/5 completed 23,550 31 Direct materials, 337,500 units 877,500 901,050 31 Direct labor 186,700 1,087,750 31 Factory overhead 46,680 1,134,430 31 Goods transferred, 338,000 units ? 31 Bal., ? units, 1/5 completed ? Required:1. Prepare a cost of production report, and identify the missing amounts for Work in Process—Roasting Department. If an amount is zero, enter "0". When computing cost per equivalent units, round to the nearest cent. Units Whole Units Equivalent UnitsDirect Materials Equivalent UnitsConversion Units charged…
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