Reference no: EM132951970
Question - A company employs a process costing for its two-department manufacturing operation using the first-in, first-ount (FIFO) inventory method. When units are completed in Department 1, they are transferred to Department 2 for completion. Inspection takes place in Department 2 immediately before the direct materials are added, when the process is 70% complete with respect to conversion. The specific identification method is used to account for lost units. The number of defective units (that is, those failing inspection) is usually below the normal tolerance limit of 4% of units inspected. Defective units have minimal value, and the company sells them without any further processing for whatever it can. Generally, the amount of collected equals, or slightly exceeds, the transportation cost. A summary of the manufacturing activity for Department 2, in units for the current month, is presented below:
Physical Units
Beginning inventory (60% complete with respect to conversion) 20,000
Units transferred in from Department 1 180,000
Units completed in Department 2 during the month 170,000
Units found to be defective at inspection 5,000
Ending inventory (80% complete with respect to conversion) 25,000
Required - Find the equivalent units for direct materials for the current month?
|
Calculate the npv of investment opportunity
: FastTrack? Bikes, Inc. is thinking of developing a new composite road bike. Development will take six years and the cost is $200,400 per year. Once in? producti
|
|
What is the price of targetco immediately
: Your company has earnings per share of $3. It has 1 million shares? outstanding, each of which has a price of $41. You are thinking of buying? TargetCo, which h
|
|
How much is the total amount of expense to be recognized
: How much is the total amount of expense to be recognized from the items described above in Entity A's first quarter statement of profit or loss
|
|
What is the current price of this bond
: Chelsea Carter is interested in buying a 5-year zero coupon bond whose face value is $1000. What is the current price of this bond
|
|
Find the equivalent units for direct materials
: Beginning inventory (60% complete with respect to conversion) 20,000. Find the equivalent units for direct materials for the current month
|
|
What are the risks faced by choice hotels
: What are the risks faced by Choice hotels and its industry as they relate to the current Covid-19 crisis worldwide? Be specific in relation to Cash Flows
|
|
How much is direct labor cost
: Spacio Company reported total manufacturing costs of $320,000, manufacturing overhead totaling $52,000, How much is direct labor cost
|
|
Forecasting of expected future earnings
: 1. The concept of accounting quality has several dimensions, but two characteristics often dominate: the accounting information should be a fair representation
|
|
Compute Blunt US tax liability after any available FTCs
: Blunt paid $20,000 in German income taxes and $1,800 in Swiss income taxes. Assume the U.S. tax rate is 21%. Compute Blunt's U.S. tax liability
|