Sunset Inc. Plastics Company uses process costing and provided the following information for 2019: Units Percent...

Question

Question

Sunset Inc. Plastics Company uses process costing and provided the following information for 2019: Units Percent Complete Per

business accounting

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

1. Total Cost Per unit is $5.50.

Calculation of Equivalent units
	Material	Conversion
Transferred Out Units (20000+218000-40000)	198000	198000
Closing WIP: 40000 Units
Direct Materials 70% complete	28000
Conversion 40% complete		16000
Equivalent Units	226000	214000
Cost per equivalent units
	Material	Conversion
Opening WIP Cost	110750	85350
Current Cost	793250	143935
Manuf. OH Cost on total conversion costs		91714
Total Cost	904000	320999
Equivalent Units	226000	214000
Cost per equivalent units	4.00	1.50	5.50

2. Cost of Ending WIP inventory is $95880.

Calculation of Equivalent units
	Material	Conversion
Transferred Out Units (18000+190000-30000)	178000	178000
Closing WIP: 30000 Units
Direct Materials 80% complete	24000
Conversion 30% complete		9000
Equivalent Units	202000	187000
Cost per equivalent units
	Material	Conversion
Opening WIP Cost	103750	54380
Current Cost	603250	110180
Manuf. OH Cost on total conversion costs		82280
Total Cost	707000	246840
Equivalent Units	202000	187000
Cost per equivalent units	3.500	1.320
Calculation of Closing WIP
	Material	Conversion	Total
Closing WIP	24000	9000
Cost of Closing WIP	84000	11880	95880

Add a comment

Answer 2

Similar Homework Help Questions

Sunset Inc. Plastics Company uses process costing and provided the following information for 2019: Units Percent...

Sunset Inc. Plastics Company uses process costing and provided the following information for 2019: Units Percent Complete Percent Complete Direct Materials Conversion Costs Work-in-process at January 1 20,000 40% 60% Units started during year 218,000 Work-in-process at December 31 40,000 70% 40% The cost of the beginning work-in-process included $110,750 for direct materials used and $85,350 for direct labor. Production costs during the year were $793,250 for direct materials and $143,935 for direct labor. The company applies manufacturing overhead using...
Sunset Inc. Plastics Company uses process costing and provided the following information for 2019: Units Percent...

Sunset Inc. Plastics Company uses process costing and provided the following information for 2019: Units Percent Complete Percent Complete Direct Materials Conversion Costs Work-in-process at January 1 20,000 40% 60% Units started during year 218,000 Work-in-process at December 31 40,000 70% 40% The cost of the beginning work-in-process included $110,750 for direct materials used and $85,350 for direct labor. Production costs during the year were $793,250 for direct materials and $143,935 for direct labor. The company applies manufacturing overhead using...
Wyle Company uses the weighted-average method in its process costing system. The following information was available...

Wyle Company uses the weighted-average method in its process costing system. The following information was available for one of its processing departments: • The beginning work in process inventory consisted of 16,000 units, which were 75% complete with respect to conversion costs. • The department converted the equivalent of 59,000 units of production during the current month. • A total of 50,000 units were completed and transferred out of that department during the current month. • The ending work in...

Baden Company has gathered the following information. 44,200 7,300 Units in beginning work in process Units...

Baden Company has gathered the following information. 44,200 7,300 Units in beginning work in process Units started into production Units in ending work in process Percent complete in ending work in process: Conversion costs Materials Costs incurred: Direct materials Direct labor Overhead 40 % 100 % $79,560 $61,500 $109,726 Compute equivalent units of production for materials and for conversion costs. Materials Conversion Costs The equivalent units of production Determine the unit costs of production. (Round unit costs to 2 decimal...
Baden Company has gathered the following information. o 44,200 7,300 Units in beginning work in process...

Baden Company has gathered the following information. o 44,200 7,300 Units in beginning work in process Units started into production Units in ending work in process Percent complete in ending work in process: Conversion costs Materials Costs incurred: Direct materials Direct labor Overhead 40 % 100 % $79,560 $61,500 $ 109,726 Determine the unit costs of production. (Round unit costs to 2 decimal places, e.g. 2.25.) Materials Conversion Costs Unit costs TA $ $
Baden Company has gathered the following information. Units in beginning work in process 0 Units started...

Baden Company has gathered the following information. Units in beginning work in process 0 Units started into production 37,000 Units in ending work in process 7,500 Percent complete in ending work in process: Conversion costs 40 % Materials 100 % Costs incurred: Direct materials $77,700 Direct labor $62,400 Overhead $106,600 Compute equivalent units of production for materials and for conversion costs. Materials Conversion Costs The equivalent units of production Determine the unit costs of production. (Round unit costs to 2...

1.) Marigold Company has gathered the following information. Units in beginning work in process 0 Units...

1.) Marigold Company has gathered the following information. Units in beginning work in process 0 Units started into production 40,300 Units in ending work in process 7,900 Percent complete in ending work in process: Conversion costs 40 % Materials 100 % Costs incurred: Direct materials $74,555 Direct labor $64,500 Overhead $104,410 Compute equivalent units of production for materials and for conversion costs. Materials Conversion Costs The equivalent units of production Determine the unit costs of production. (Round unit costs to...
18. Sparky Corporation uses the weighted-average method of process costing. The following information is available for...

18. Sparky Corporation uses the weighted-average method of process costing. The following information is available for February in its Molding Department: Units: Beginning Inventory: 31,000 units, 100% complete as to materials and 55% complete as to conversion. Units started and completed: 122,000. Units completed and transferred out: 153,000. Ending Inventory: 33,000 units, 100% complete as to materials and 30% complete as to conversion. Costs: Costs in beginning Work in Process - Direct Materials: $49,000. Costs in beginning Work in Process...
Required information (The following information applies to the questions displayed below. Carlberg Company has two manufacturing...

Required information (The following information applies to the questions displayed below. Carlberg Company has two manufacturing departments, assembly and painting. The assembly department started 11,100 units during November. The following production activity unit and cost information refers to the assembly department's November production activities. Assembly Department Beginning work in process Units transferred out Ending work in process Units 3,000 10,000 4,100 Percent of Direct Materials 60% 100% 90% Percent of Conversion 40% 100% 40% $1,823 (consists of $1,511 for direct...

Units Percent Complete 60 % 440 1,120 600 40 % Production Data-Basketballs Work in process units,...

Units Percent Complete 60 % 440 1,120 600 40 % Production Data-Basketballs Work in process units, July 1 Units started into production Work in process units, July 31 Cost Data-Basketballs Work in process, July 1 Materials Conversion costs Direct materials Direct labor Manufacturing overhead $780 620 $1,400 2,028 530 1,010 Answer CLOSE Problem 3-5A (Video) (Part Level Submission) Calculate the equivalent units of production for materials and conversion costs. Materials Conversion Costs Equivalent Units 1,560 1,200 (a2) Calculate the unit...

Sunset Inc. Plastics Company uses process costing and provided the following information for 2019: Units Percent...

Homework Answers