Question

please answer a-j

Y anaga Class time: П. Process Costing (50 points) Our company manufactures Chemical X, Assume the company uses weighted average. Separate direct materials and conversion costs Chemical X is comprised of two ingredients, A and B. A is added at the beginning of the process and is 60 % of the cost of Chemical X. B is added at the end of the process and is 40% of the cost. The estimated direct material cost for Chemical X is $50 per gallon. At the beginning of the month, there was 1,000 gallons in process, 75 % through the process (Chemical X). The total costs in beginning WIP is $40, 400 for materials and $29,300 for conversion costs. ten allen During the month, 10,000 gallons (Chemical X) were started. Conversion costs were $245,000 for the month. At the end of the month, there were 1,500 gallons (Chemical X) in process, 70% through the process a. How many units were started AND completed? Completed? Staried compused- 500 b. Calculate the FIFO equivalent units produced. converst on 10,300 T 75 c. What is the cost for additional direct materials? (hint: use the FIFO 1.7) calculation in b.) Cost For addittohal D 425,000 s,000 M,800 +16.300 Using FIFO, what is the cost per equivalent unit of production COst per eep masenau= 38.63b Cost pereupeonversion 23.7864

Answer 1

Cost of Production Report-`
For the Month
UNITS	Whole Units	Equivalent Units
		Direct Materials		Conversion
Units charged to production:		A	B
Inventory in process, Beginning	1,000	1,000	1,000	1,000
Started	10,000	10,000	10,000	10,000
Total units accounted for by the Shifting Department	11,000	11,000	11,000	11,000
Units to be assigned costs:
Inventory in process, Beg (75% completed)	1,000	0	1,000	250	1000*25%
Started and completed in month	8,500	8,500	8,500	8,500
Transferred	9,500	8500	9500	8750
Inventory in process, Ending (70% completed)	1,500	1,500	0	1050	(1300*.7)
Total units to be assigned costs	11,000	10000	9500	9800
COSTS	Costs
	Direct Materials
	A	B	Conversion	Total
Cost per equivalent unit:
Total costs for month	$300,000	200000	$245,000	$745,000
Total equivalent units	10000	9500	9800
Cost per equivalent unit	$30.00	$21.05	$25.00	$76.05
Costs assigned to production:
Inventory in process, Beg (40400*60%/40%)	$40,400	$0	$29,300
Costs incurred in month	$300,000	$200,000	$245,000
Total costs accounted for by the Shifting Department	$340,400	$200,000	$274,300	$814,700
Cost allocated to completed and
partially completed units:
Inventory in process, BEg balance				$69,700
To complete inventory in process, Beg	$0.00	$21,053	$6,250.00	27,303
Cost of completed March 1 work in process				$97,003
Started and completed in March	$255,000	$178,947	$212,500	646,447
Transferred to Packaging Department in March	$255,000.00	$200,000.00	$218,750.00	$743,450
Inventory in process, Ending	$45,000	$0	$26,250.00	71,250
Total costs assigned	$300,000.00	$200,000.00	$245,000.00	$814,700
working
Direct Materials
A	B
300000	200000
(10000*50*60%)	(10000*50*40%)
ans a	Started and completed		8,500
ans b	FIFo equivaent units
	Direct Material A	10000
	Direct Material B	9500
	Conversion cost	9800
Ans c	Diret Material added	$50 per gallon
	Total $500000 (50*10000)
ans d
	Cost per equivalemt units
	Direct Material A	$30.00
	Direct Material B	$21.05	$51.05
	Conversion cost		$25.00
ans e		Dr	Cr
	Finishe Goods Inventory	$743,450
	WIP		$743,450
ans f	Cost per unit	$76.05
	Direct Material	$51.05
	Conversion cost	$25.00
ans g
ProductionDepartment			Equivalent Units
Flow Of Units	Physical Units	Direct Material A	Direct material-B	Conversion cost
Units to be accounted for
Beginning work in process inventory	1000
Units started this period	10000
Total u nits to be accounted for	11000
Units accounnted for:
Units completed (b)	9500	9500	9500	9500
Ending work in progress inventory c (100% material A and 70 %conversion)	1500	1500	0	1050
Total units to be accounted for (f)	11000	11000	9500	10550
Flow of Cost
Cost in the begnning work in progress inventory		40400	0	29300
cost added to process		$300,000	$200,000	$245,000
Total Cost to be accounted for (e)		340400	200000	274300
Cost per equivalent unit (a)	78.00	30.95	21.05	26.00
Cost accounted for
Cost assigned to units transferred out (a*b)	740982	293982	200000	247000
Cost in ending work in progress inventory (a*c)	73718	46418	0	27300
Total Cost accounted for	814700	340400	200000	274300
ans g
Direct Material A	11000
Direct Material B	9500
Conversion cost	10550
ans h
Cost per equivalemt units
Direct Material A	$30.95
Direct Material B	$21.05	$52.00
Conversion cost		26.00
ans i
	Dr	Cr
Finishe Goods Inventory	$740,982
WIP		$740,982
If any doubt pleasec omment