Reference no: EM13828353
Question 1:
The Welding Department of Thorpe Company has the following production and manufacturing cost data for February 2014. All materials are added at the beginning of the process.
Manufacturing Costs
|
Beginning work in process
|
|
|
|
Materials
|
$18,380
|
|
|
Conversion costs
|
14,280
|
$32,660
|
|
Materials
|
|
198,628
|
|
Labor
|
|
52,620
|
|
Overhead
|
|
62,040
|
| Production Data |
| Beginning work in process |
15,270 units, 1/10 complete |
| Units transferred out |
49,400 |
| Units started |
45,010 |
| Ending work in process |
10,880 units, 1/5 complete |
Prepare a production cost report for the Welding Department for the month of February.
Question 2:
Schrager Company has two production departments: Cutting and Assembly. July 1 inventories are Raw Materials $4,780, Work in Process-Cutting $3,680, work in Process-Assembly $11,240, and Finished Goods $32,990. During July, the following transactions occurred.
1. Purchased $64,380 of raw materials on account.
2. Incurred $60,470 of factory labor. (Credit Wages Payable.)
3. Incurred $72,910 of manufacturing overhead; $41,350 was paid and the remainder is unpaid.
4. Requisitioned materials for Cutting $15,840 and Assembly $9,170.
5. Used factory labor for Cutting $33,800 and Assembly $26,670.
6. Applied overhead at the rate of $21 per machine hour. Machine hours were Cutting 1,720 and Assembly 1,790.
7. Transferred goods costing $68,750 from the Cutting Department to the Assembly Department.
8. Transferred goods costing $136,390 from Assembly to Finished Goods.
9. Sold goods costing $152,460 for $202,570 on account.
Journalize the transactions.
Question 3:
The ledger of Custer Company has the following work in process account.
|
5/1
|
Balance
|
3,840
|
5/31 Transferred out
|
|
5/31
|
Materials
|
6,250
|
|
|
5/31
|
Labor
|
3,900
|
|
|
5/31
|
Overhead
|
2,430
|
|
|
5/31
|
Balance
|
|
|
Production records show that there were 420 units in the beginning inventory, 30% complete, 1,550 units started, and 1,520 units transferred out. The beginning work in process had materials cost of $3,030 and conversion costs of $1,750. The units in ending inventory were 40% complete. Materials are entered at the beginning of the painting process.
(a) How many units are in process at May 31?
(b) What is the unit materials cost for May?
(c) What is the unit conversion cost for May?
(d) What is the total cost of units transferred out in May?
(e) What is the cost of the May 31 inventory?