Please only answer if you're 100% on the answer and can fully complete. Thank you.
USE FIRST-IN, FIRST-OUT COSTING
Sulu Company produces its finished product in two processing departments--Assembly and Packaging.
The following information is available for the month of July:
Assembly Department:
The beginning work-in-process inventory was $5,755 ($4,815 direct materials and $940 conversion costs) and consisted of 350 units that were 10% complete as to conversion costs.
During July, an additional 4,500 units were started into production.
A total of 4,650 units were completed and transferred out to the Packaging Department.
The ending work-in-process inventory consisted of 200 units which were 35% complete as to conversion costs.
The following costs were incurred during July: direct materials $73,800; direct labor $86,300; and overhead $40,195.
Direct materials are added at the beginning of the process in the Assembly Department and conversion costs are incurred evenly throughout the production process.
Packaging Department:
The beginning work in process inventory was $29,631 ($18,606 transferred-in costs and $11,025 conversion costs) and consisted of 450 units that were 70% complete as to conversion costs.
During July, a total of 4,800 units were completed and transferred out to Finished Goods Inventory.
The ending work in process inventory consisted of 300 units which were 60% complete as to conversion costs.
The following costs were incurred during July: direct materials $132,480; direct labor $60,000; and overhead costs $105,141.
Direct materials are added at the end of the process in the Packaging Department and conversion costs are incurred evenly throughout the production process.
REQUIRED:
A. Prepare a production report for July for the Assembly Department.
B. Give the general journal entry to record the transfer of the completed units from the Assembly Department to the Packaging Department for July.
C. Prepare a production report for July for the Packaging Department.
Please only answer if you're 100% on the answer and can fully complete. Thank you.
USE FIRST-IN, FIRST-OUT COSTING
Sulu Company produces its finished product in two processing departments--Assembly and Packaging.
The following information is available for the month of July:
Assembly Department:
The beginning work-in-process inventory was $5,755 ($4,815 direct materials and $940 conversion costs) and consisted of 350 units that were 10% complete as to conversion costs.
During July, an additional 4,500 units were started into production.
A total of 4,650 units were completed and transferred out to the Packaging Department.
The ending work-in-process inventory consisted of 200 units which were 35% complete as to conversion costs.
The following costs were incurred during July: direct materials $73,800; direct labor $86,300; and overhead $40,195.
Direct materials are added at the beginning of the process in the Assembly Department and conversion costs are incurred evenly throughout the production process.
Packaging Department:
The beginning work in process inventory was $29,631 ($18,606 transferred-in costs and $11,025 conversion costs) and consisted of 450 units that were 70% complete as to conversion costs.
During July, a total of 4,800 units were completed and transferred out to Finished Goods Inventory.
The ending work in process inventory consisted of 300 units which were 60% complete as to conversion costs.
The following costs were incurred during July: direct materials $132,480; direct labor $60,000; and overhead costs $105,141.
Direct materials are added at the end of the process in the Packaging Department and conversion costs are incurred evenly throughout the production process.
REQUIRED:
A. Prepare a production report for July for the Assembly Department.
B. Give the general journal entry to record the transfer of the completed units from the Assembly Department to the Packaging Department for July.
C. Prepare a production report for July for the Packaging Department.
Related questions
1. Ex Company produces a single product. Material A is added atthe start of the production process and packaging material B isadded at the end of the process. Conversion costs are incurreduniformly throughout the process. Production data for 2007 was asfollows:
Beginning work-in-process inventory (60% complete in conversion) 1,000 units
Units started 17,000 units
Unitscompleted ?
Ending work-in-process inventory (50% complete in conversion) 2,000 units
Using a first-in, first-out (FIFO) process costing system, theequivalent units in 2007 are
Material A | Material B | Conversion | ||
a. | 18,000 | 16,000 | 16,800 | |
b. | 16,000 | 16,000 | 16,400 | |
c. | 16,000 | 16,000 | 16,000 | |
d. | 17,000 | 16,000 | 16,400 |
e. None of the above
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Answer the following 2 questions using the informationbelow:
The Townsend Tractor Company manufactures small garden tractorson a highly automated assembly line. Its costing system uses twocost categories, direct materials and conversion costs. Eachtractor must pass through the Assembly Department and the TestingDepartment. Direct materials are added at the beginning of theproduction process. Conversion costs are allocated evenlythroughout production. Townsend Tractor uses weighted-averagecosting.
Data for the Assembly Department for April 2008 are:
Work in process, beginning inventory: | 400 units |
===Direct materials (100% complete) | |
===Conversion costs (40% complete) | |
Units started during April | 1,200 units |
Work in process, ending inventory: | 250 units |
===Direct materials (100% complete) | |
===Conversion costs (80% complete |
Costs for April 2008:
Work in process, beginning inventory: | |
===Direct materials | $100,000 |
===Conversion costs | $300,000 |
Direct materials costs added during April | $700,000 |
Conversion costs added during April | $1,250,000 |
2. What amount of direct materials costs are assigned to theending Work-in-Process account for April?
3. What amount of direct materials cost are assigned to thetransferred out units for April?
SHOW YOUR CALCULATIONS
Wilson Dynamics makes flanges in a continuous process throughtwo departments: Forging and Assembly. All direct materials areadded at the beginning of the process in the Forging Department,whereas all direct materials are added at the end of the process inthe Assembly Department. Conversion costs are incurred uniformlyover time in both departments. As units are completed in theForging Department, they are transferred to the AssemblyDepartment. The costs associated with the transferred units areincluded in the computation of the Assembly DepartmentΓ’ΒΒs totalcosts. The information presented as follows was compiled at the endof July.
| Forging Department | Assembly Department | |||||
| Beginning Inventories(on July 1): | ||||||
| Physical units in productioncarried forward from June 30 | 5,000 | 4,000 | ||||
| Costs: | ||||||
| Transferred Forging costscarried forward from June 30 | $ | 68,000 | ||||
| Direct materials costs carriedforward from June 30 | $ | 45,000 | ? | |||
| Conversion costs carried forwardfrom June 30 | 16,000 | 3,000 | ||||
| Current Production (inJuly): | ||||||
| Units started during July | 75,000 | ? | ||||
| Units in ending inventories asof July 31 | 8,000 | 16,000 | ||||
| Costs: | ||||||
| Forging costs transferred toAssembly during July | ? | |||||
| Direct materials costs incurredin July | $ | 675,000 | $ | 720,000 | ||
| Conversion costs incurred inJuly | 608,000 | 191,400 | ||||
| Percentage ofCompletion: | ||||||
| Inventories with respect toconversion on July 1 | 40 | % | 25 | % | ||
| Inventories with respect toconversion on July 31 | 75 | 30 | ||||
Required:
a. Complete the following requirements for theForging Department.
1. Prepare a schedule showing units started and completed in theForging Department during July.
2. Compute the equivalent units of direct materials andconversion for the Forging Department in July.
3. Determine the cost per equivalent unit of input resource forthe Forging Department ΓΒduring July.
4. Prepare the summary journal entry required to transfer unitsfrom the Forging Department to the Assembly Department duringJuly.
5. Compute the costs assigned to ending inventory in the ForgingDepartment on July 31.
b. Complete the following requirements for theAssembly Department.
1. Prepare a schedule showing units started and completed in theAssembly Department during July.
2. Compute the equivalent units of direct materials andconversion for the Assembly Department in July. Direct materialsinclude both those transferred in from the Forging Department andthose added by the Assembly Department.
3. Determine the cost per equivalent unit of input resource forthe Assembly Department during July.
4. Prepare the summary journal entry required to transfer unitsfrom the Assembly Department to Finished Goods Inventory duringJuly.
5. Compute the costs assigned to ending inventory in theAssembly Department on July 31.
