Question

* You received no credit for this question in the previous attempt, View Following is a partial process cost summary for Mitchell Manufacturing's Canning Department. Direct Materials 52,000 Conversion 52,000 Equivalent Units of Production Units Completed and transferred out Units in Ending Work in Process: Direct Materials (18,000 x 100%) Conversion (18,000 x 80%) Equivalent Units of Production 18,000 14,400 66,400 70,000 Cost per Equivalent Unit Costs of beginning work in process Costs incurred this period Total costs Cost per equivalent unit $ 43,600 145,500 $189, 100 2.70 per EUP $ 63,900 195,700 $259,600 $ 3.91 per EUP If the units completed were transferred to the Labeling Department, what is the appropriate journal entry to transfer the direct materials? Multiple Choice O Work in Process-Labeling $140.400; Work in Process-Canning $140.400. < Prev 24 of 26 Next >

Answer 1

Correct answer----------Work in process-Labelling $140,400; Work in process- Canning $140,400

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WIP account of transferring department will be credited and WIP account of department in which cost is transferrd will be debited.

Statement of cost (Weighted average)
Cost	Equivalent Cost/unit	Ending WIP		Transferred
		Units	Cost Allocated	Units	Cost Allocated
Material	$ 2.70	18,000	$          48,600.00	52,000	$ 140,400