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Problem - Vigor Inc. produces an energy drink. The product is sold by the quart. The company has two departments: mixing and bottling. For May, the bottling department had 30,000 quarts in beginning inventory (with transferred-in costs of $63,000) and completed 140,000 quarts during the month. Further, the mixing department completed and transferred out 120,000 gallons at a cost of $237,000 in May.
Required -
Prepare a physical flow schedule for the bottling department.
Calculate equivalent units for the transferred-in category.
Calculate the unit cost for the transferred-in category.
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