Class Notes (807,647)
Canada (492,772)
Business (3,224)
BU247 (83)

February 06 2014 bu247.docx

2 Pages
Unlock Document

Wilfrid Laurier University
Esther Maier

February 06 2014 bu247 Job order costing: accumulates the costs for a specific order because the orders tend to vary from customer to customer Direct: can be tracked Indirect: cannot be tracked Purpose: each job is different Process costing: all products are identical such as soda drinks and breakfast cereal Two different costs: direct material and conversion costs (that goes through different process) – all manufacturing costs that are not direct material costs -assign cost based on equivalent units -generally 100% of the direct material is in the work in process account or assume it if the question does not state it -final step is to use equivalent material and conversion costs to allocate manufacturing costs to the ending inventories 3-47 the information below pertains to October production at Zippy Company’s bottling plant, which produces and bottles sports drinks. Each unit consists of a case of 12 bottles. Units Material Conversion Work in process October 2000 70% complete 60% complete 1 Started in October 10 000 To account for 12 000 Completed & transferred 8000 100% complete 100% complete out Work in process, October 4000 40% complete 25% complete 30 Accounted for 12 000 Costs beginning of $1050 $3240 October Added during October 8200 22620 To be accounted for $9250 $25860 Required: a) Using the weighted average method, determine the number of equivalent units of production for materials and conversion during October. Materials Conversion Completed & Transferred out 8000 8000 WIP October 31 (4000 x 40% 1600 1000 complete and 4000 x 25%) Equivalent units – production 9600 900
More Less

Related notes for BU247

Log In


Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.