Question

Chem C yw the weldaag method in process t o wal eded at the beg i nnin The A by Depar t he month with 500 nits i proces were feed 500 d e A 2.150 C2550 units D 2.250 to rem 7. To compute equivalent A physical and physical a nd C etcost och D. the percentage of e m 8. PC Company uses the welderhed in process o ry materials are added at the bel beginning of the process, and conversion costs are incurred uniformly. o fthe process, conversion ne Dentimentul hemb e shat were 40 transferred 2.500 units to Finished Ged entory S00 units in process at the end period, 70% complete. The amount of direct materials in beginning inventory w and the amount of direct material os a led S121.40. What is the direct materials per equivalent Round to the nearest cent) A $45.92 per equivalent B $48.00 per equivalent unit C 548 14 per equivalent unit D. 555.20 per equivalent unit 9. Pokomun Company uses the weighted average method in its process costing system, in which all materials are added at the beginning of the process, and conversion costs are incurred uniformly. The Molding Department started the month with 1.000 units in process that were 70% complicte, started 6,600 new units during the period, and had 600 units in process at the end of the period that were 20% complete. It was determined that beginning inventory cost per equivalent unit (EU) was $50/EU and that ending inventory cost per equivalent unit was $48/EU. What is the total dollar value of goods transferred out of the Molding Department? A $316,800 B. $336,000 C. $343,000 D. $350,000 10. The Blue Corporation started and completed 4,800 units during February. Blue began the month with 700 units in process (40% complete); these units were also completed during February. The company ended the month with 400 units in process (80% complete), these units were started but not completed during the month. How many units were transferred to Finished Goods Inventory during February A. 4,760 B. 5,100 C. 5,460 D. 5,500 2016 Pearson Education, Inc. 20-15

Answer 1

Solutions:

6.

B. 2560

Equivalent Units
Finished Goods Inventory	2500
Ending WIP ( 150 *40%)	60
Equivalent Units	2560

7.

D. The percentage of completion

8.

A. 45.92

Direct Materials (Beginning)	16320
Cost Added	121440
Total	137760
Equivalent Units	3000
Cost per Equivalent Unit	45.92

9.

B.336000

Units Transferred	=Opening Units + Units started during the month - Ending Units
	=1000+6600-600
	7000
Cost per EU (Closing)	$48
Cost of Goods transferred to Molding Department	=7000*48
	336000

10.

B. 5100

Opening Units	700
Units Started and Completed	4800
Subtotal	5500
Less: Ending Units	400
Finished Goods	5100