Required: Prepare a physical flow analysis for the first department for July. Calculate equivalent units of production for the first department for July. Calculate unit cost for materials, conversion, and in total for the first department for July. 1. 2. 3.
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
![Xe
6-15
Appendix Exercise:
FIFO Equivalent
Units; Unit Cost
LOS
2. Calculate equivalent units for the following categories: transferred-in, materials,
3. Calculate unit costs for the following categories: transferred-in, materials, and
and conversion.
conversion. Calculate total unit cost.
Halligan Company manufactures a product in four departments. Data for the firs
department follow:
Production:
Units in process, July 1, 75% complete
Units completed and transferred out
Units in process, July 31, 25% complete
Costs:
Work in process, July 1
Costs added during the month
Halligan uses FIFO costing.
Required:
60,000
150,000
30,000
$193,500
$500,625
1. Prepare a physical flow analysis for the first department for July.
2. Calculate equivalent units of production for the first department for July.
Calculate unit cost for materials, conversion, and in total for the first department
for July.
3.
4. Calculate the cost of units transferred out and the cost of ending work in process.
5. Prepare a cost reconciliation for the first department for July.
Required:
1. Determ
out
2. If poss
6-18
Weighted Average
Method; Valuation of
Goods Transferred
Out and Ending
Work in Process
LO3
Refer to
the cost
6-19
Weighted Average
Method; Unit Cost;
Valuation of Goods
Transferred Out and
Ending Work in
Process
LO3
Post
par
firs
U](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3220646d-adde-408b-ad9c-f718b82f3aaa%2F98ef310d-95ee-427d-b489-848a369123bc%2Fnsavdje_processed.jpeg&w=3840&q=75)
![](/static/compass_v2/shared-icons/check-mark.png)
Step by step
Solved in 5 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
![Excel Applications for Accounting Principles](https://www.bartleby.com/isbn_cover_images/9781111581565/9781111581565_smallCoverImage.gif)
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
![Excel Applications for Accounting Principles](https://www.bartleby.com/isbn_cover_images/9781111581565/9781111581565_smallCoverImage.gif)
![Managerial Accounting: The Cornerstone of Busines…](https://www.bartleby.com/isbn_cover_images/9781337115773/9781337115773_smallCoverImage.gif)