Balance Date Item Debit Credit Debit Credit Sept. 1 Bal., 4,300 units, 70% compl
ID: 2381335 • Letter: B
Question
Balance Date Item Debit Credit Debit Credit Sept. 1 Bal., 4,300 units, 70% completed 66,521 30 Direct materials, 39,000 units 503,100 569,621 30 Direct labor 53,240 622,861 30 Factory overhead 73,512 ? 696,373 30 Goods finished, ? units ? 30 Bal., 3,400 units, 80% completed ? Determine the number of units transferred to the next department. ? units Determine the costs per equivalent unit of direct materials and conversion. If required round to two decimal places. Cost of equivalent unit of direct materials: ? Cost of equivalent unit of conversion: ? Determine the cost of units started and completed in Sept. ?Explanation / Answer
STATEMENT SHOWING EQUIVALENT UNITS AND COST PER EQUIVALENT UNIT
PARTICULARS
INPUT
OUTPUT
%
DIRECT MATERIALS
%
CONVERSION COST
[ DIRECT LABOUR +
FACTORY
OVERHEAD]
OPENING WIP
4300
ADD:-UNITS INTODUCED DURING THE YEAR
39000
LESS:-CLOSING WIP
3400
OPENING WIP COMPLETED
4300
0%
30%
30% OF 4300
=1290
UNITS INTRODUCED & COMPLETED DURING THE YEAR
39900-4300
=35600
100%
100% OF 35600
=35600
100%
100% OF 35600
=35600
CLOSING WIP
3400
100%
100% OF 3400
=3400
80%
80% OF 3400
=2720
TOTAL EQUIVALENT UNITS
39000
39610
COST OF DIRECT MATERIALS
503100
CONVERSION COST
[53240+73512]
=126752
EQUIVALENT COST PER UNIT
503100/39000
=12.9
126752/39610
=3.2
NO OF UNITS TRANSFERRED TO THE NEXT DEPARTMENT = OPENING WIP + UNITS INTODUCED
STATEMENT SHOWING EQUIVALENT UNITS AND COST PER EQUIVALENT UNIT
PARTICULARS
INPUT
OUTPUT
%
DIRECT MATERIALS
%
CONVERSION COST
[ DIRECT LABOUR +
FACTORY
OVERHEAD]
OPENING WIP
4300
ADD:-UNITS INTODUCED DURING THE YEAR
39000
LESS:-CLOSING WIP
3400
OPENING WIP COMPLETED
4300
0%
30%
30% OF 4300
=1290
UNITS INTRODUCED & COMPLETED DURING THE YEAR
39900-4300
=35600
100%
100% OF 35600
=35600
100%
100% OF 35600
=35600
CLOSING WIP
3400
100%
100% OF 3400
=3400
80%
80% OF 3400
=2720
TOTAL EQUIVALENT UNITS
39000
39610
COST OF DIRECT MATERIALS
503100
CONVERSION COST
[53240+73512]
=126752
EQUIVALENT COST PER UNIT
503100/39000
=12.9
126752/39610
=3.2
NO OF UNITS TRANSFERRED TO THE NEXT DEPARTMENT = OPENING WIP + UNITS INTODUCED
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