Question

18 Fanning Cola Corporation produces a new soft drink brand, Sweet Spring, using two production departments: mixing and bottl18 Required a. Determine the number of equivalent units of production b. Determine the product cost per equivalent unit. c. C18 Required a. Determine the number of equivalent units of production b. Determine the product cost per equivalent unit. c. C18 Req D Req A and B Req C Record the transactions in T-accounts. (The cash expenditures in events No. 2 and No. 4 should beEnd. bal End. bal Manufacturing Overhead Production Supplies Beg. bal Beg. bal End. bal End. bal. Common Stock Beg. bal End.

18 Fanning Cola Corporation produces a new soft drink brand, Sweet Spring, using two production departments: mixing and bottling Fanning's beginning balances and data pertinent to the mixing department's activities for 2018 follow: Beginning Accounts Balances 48,000 14,600 Cash Raw materials inventory Production supplies Work in process inventory (360,000 units) 100 43,200 95,700 Common stock 1. Fanning Cola issued additional common stock for $56,000 cash. 2. The company purchased raw materials and production supplies for $24,380 and $700, respectively, in cash. 3. The company issued $26,840 of raw materials to the mixing department for the production of 600,000 units of Sweet Spring that were started in 2018. A unit of soft drink is the amount needed to fill a bottle 4. The mixing department used 2,200 hours of labor during 2018, consisting of 2,000 hours for direct labor and 200 hours for indirect labor. The average wage was $9.40 per hour. All wages were paid in 2018 in cash. 5. The predetermined overhead rate was $1.60 per direct labor hour 6. Actual overhead costs other than indirect materials and indirect labor for the year amounted to $1,070, which was paid in cash 7. The mixing department completed 600,000 units of Sweet Spring. The remaining inventory was 30 percent complete 8. The completed soft drink was transferred to the bottling department. 9. The ending balance in the Production Supplies account was $550. Required a. Determine the number of equivalent units of production. b. Determine the product cost per equivalent unit. c. Calculate the total cost allocated between the ending work in process inventory and units transferred to the bottling department. d. Record the transactions in T-accounts
18 Required a. Determine the number of equivalent units of production b. Determine the product cost per equivalent unit. c. Calculate the total cost allocated between the ending work in process inventory and units transferred to the bottling department. d. Record the transactions in T-accounts. Complete this question by entering your answers in the tabs below Req C Req A and B Req D Determine the number of equivalent units of production. Determine the product cost per equivalent unit. (Round "Cost per equivalent unit" answer to 2 decimal places.) a. Equivalent units b. Cost per equivalent unit Req A and B Req C
18 Required a. Determine the number of equivalent units of production b. Determine the product cost per equivalent unit. c. Calculate the total cost allocated between the ending work in process inventory and units transferred to the bottling department. d. Record the transactions in T-accounts. Complete this question by entering your answers in the tabs below Req A and BReq c Req D Calculate the total cost allocated between the ending work in process inventory and units transferred to the bottling department. (Round intermediate calculations to 2 decimal places.) Cost Allocation To the bottling department To ending work-in-process inventory Total allocated cost Req A and B Req D )
18 Req D Req A and B Req C Record the transactions in T-accounts. (The cash expenditures in events No. 2 and No. 4 should be combined into a single amount in the cash account for each event. Round intermediate calculations to 2 decimal places.) Cash Raw Materials Beg. bal Beg. bal End. bal End. bal Work in process Mixing Work in process Bottling Beg. bal Beg. bal End. bal End. bal. Manufacturing Overhead Production Supplies Beg. bal Beg, bal
End. bal End. bal Manufacturing Overhead Production Supplies Beg. bal Beg. bal End. bal End. bal. Common Stock Beg. bal End. bal Req D
0 0
Add a comment Improve this question Transcribed image text
Answer #1
a Schedule of Equivalent units
Particulars Whole Units Equivalent Units
% Units
Beginning Inventory 360000
Units added to production 600000
Total Units to be accouted for 960000
Transferred to bottling units 600000 100% 600000
Ending Inventory 360000 30% 108000
Total Units to be accouted for 960000 708000
b Determination of Product Cost per unit
Particulars Amount
Beginning Inventory 43200
Cost added to production 48840
Total to be accounted for 92040
Total equivalent units 708000
Cost per equivalent unit 0.13
WN
Cost added to production Direct Materials added to production + direct labor +overhead
26840+2000*9.4+1.6*2000
48840
c Calculation of the allocation is calculated as below:
Bottling Department 360000*.13 46800
Ending Inventory 108000*.13 14040
Total Allocated Cost 60840
d T Accounts
Cash
Amount Amount
Beg Balance 48000 By Raw Material 24380
To Common Stock 56000 By Production Supplies 700
By WIP mixing 18800
By Mfg OH 1880
200 hrs*9.4
By Mfg OH 3200
End Balance 55040
Common Stock
Amount Amount
End Balance 151700 Beg Balance 95700
By Cash 56000
Production Supplies
Amount Amount
Beg Balance 100 By Mfg OH 250
Cash 700
End Balance 550
MFG OH
Amount Amount
Cash 1880
Cash 3200
Production Supplies 250 End Balance 5330
Raw Material
Amount Amount
Beg Balance 14600
Cash 24380 End Balance 38980
WIP mixing
Amount Amount
Beg Balance 43200 WIP Bottling 46800
Cash 18800 End Balance 15200
Add a comment
Know the answer?
Add Answer to:
18 Fanning Cola Corporation produces a new soft drink brand, Sweet Spring, using two production departments: mixing and bottling Fanning's beginning balances and data pertinent to the mixing depa...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • 3 Wright Cola Corporation produces a new soft drink brand, Sweet Spring, using two production dep...

    HELP WITH T-ACCOUNTS... 3 Wright Cola Corporation produces a new soft drink brand, Sweet Spring, using two production departments: mixing and bottling Wright's beginning balances and data pertinent to the mixing department's activities for 2018 follow: Beginning Balances $ 5e,000 14,800 34 ints Accounts Cash Raw materials inventory Production supplies Work in process inventory (400,00e units) Common stock 48,900 $112,900 1. Wright Cola issued additional common stock for $80,000 cash 2. The company purchased raw materials and production supplies for...

  • Process costing system Wright Cola Corporation produces a new soft drink brand, Sweet Spring, using two...

    Process costing system Wright Cola Corporation produces a new soft drink brand, Sweet Spring, using two production departments: mixing and bottling. Wright's beginning balances and data pertinent to the mixing department's activities for 2018 follow Accounts Beginning Balances Cash $50,000 14,800 Raw materials inventory Production supplies Work in process inventory (400,000 units) 100 48,000 $112,900 Common stock 1. Wright Cola issued additional common stock for $80,000 cash 2. The company purchased raw materials and production supplies for $29,600 and $800...

  • Munoz Plastic Products Company makes a plastic toy using two departments: parts and assembly. The...

    Munoz Plastic Products Company makes a plastic toy using two departments: parts and assembly. The following data pertain to the parts department’s transactions in 2018: The beginning balance in the Work in Process Inventory account was $12,300. This inventory consisted of parts for 1,000 toys. The beginning balances in the Raw Materials Inventory, Production Supplies, and Cash accounts were $162,350, $2,000, and $400,000, respectively. Direct materials costing $138,750 were issued to the parts department. The materials were sufficient to make...

  • Munoz Plastic Products Company makes a plastic toy using two departments: parts and assembly. The...

    Munoz Plastic Products Company makes a plastic toy using two departments: parts and assembly. The following data pertain to the parts department’s transactions in 2018: The beginning balance in the Work in Process Inventory account was $12,300. This inventory consisted of parts for 1,000 toys. The beginning balances in the Raw Materials Inventory, Production Supplies, and Cash accounts were $162,350, $2,000, and $400,000, respectively. Direct materials costing $138,750 were issued to the parts department. The materials were sufficient to make...

  • Perez Plastic Products Company makes a plastic toy using two departments: parts and assembly. The following...

    Perez Plastic Products Company makes a plastic toy using two departments: parts and assembly. The following data pertain to the parts department's transactions in 2018: 1. The beginning balance in the Work in Process Inventory account was $12,200. This inventory consisted of parts for 1,000 toys. The beginning balances in the Raw Materials inventory Production Supplies, and Cash accounts were $178,400, $2.000 and $400,000, respectively 2. Direct materials costing $156,200 were issued to the parts department. The materials were sufficient...

  • Monsta Cola hires us to help assign and report costs. The company has two departments: mixing...

    Monsta Cola hires us to help assign and report costs. The company has two departments: mixing and bottling. To aid our analysis, the following Tableau Dashboard is provided with information for the mixing department. The company uses the weighted average method. Monsta Cola hires us to help assign and report costs. The company has two departments: mixing and bottling. To aid our analysis, the following Tableau Dashboard is provided with information for the mixing department. The company uses the weighted...

  • 6. The parts department completed work for 5,500 toys. The remaining toy parts were 40 percent...

    6. The parts department completed work for 5,500 toys. The remaining toy parts were 40 percent complete. The completed parts were transferred to the assembly department 7. All of the production supplies had been used by the end of 2018 8. Over- or underapplied overhead was closed to the Cost of Goods Sold account Required a. Determine the number of equivalent units of production b. Determine the product cost per equivalent unit c. Calculate the total cost allocated between the...

  • Production Report, Weighted Average Mino Inc. manufactures chocolate syrup in three departments: Cooking, Mixing, and Bottling....

    Production Report, Weighted Average Mino Inc. manufactures chocolate syrup in three departments: Cooking, Mixing, and Bottling. Mino uses the weighted average method. The following are cost and production data for the cooking department for April (Note: Assume that units are measured in gallons.): Production: Units in process, April 1, 60% complete 32,000 Units completed and transferred out 49,000 Units in process, April 30, 20% complete 12,000 Costs: WIP, April 1 $ 90,600 Costs added during April 413,120 Required: Prepare a...

  • Production Report, Weighted Average Mino Inc. manufactures chocolate syrup in three departments: Cooking, Mixing, and Bottling....

    Production Report, Weighted Average Mino Inc. manufactures chocolate syrup in three departments: Cooking, Mixing, and Bottling. Mino uses the weighted average method. The following are cost and production data for the cooking department for April (Note: Assume that units are measured in gallons.): Production: Units in process, April 1, 60% complete 23,000 Units completed and transferred out 47,500 Units in process, April 30, 20% complete 10,500 Costs: WIP, April 1 $ 85,600 Costs added during April 340,960 Required: Prepare a...

  • Problem 6-15 Comprehensive Process Costing Problem (LO1, LO2, LO3, LO4, L05) Fryer's Choice produces a specially...

    Problem 6-15 Comprehensive Process Costing Problem (LO1, LO2, LO3, LO4, L05) Fryer's Choice produces a specially blended vegetable oil widely used in restaurant deep fryers. The blending process creates a cooking oil that can be heated to a high temperature, but does not smoke or smell. The oil is produced in two departments: Blending and Bottling. Raw materials are introduced at various points in the Blending Department. The following incomplete Work in Process T-account is available for the Blending Department...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT