Required information [The following information applies to the questions display
ID: 2395331 • Letter: R
Question
Required information
[The following information applies to the questions displayed below.]
Tamar Co. manufactures a single product in one department. All direct materials are added at the beginning of the manufacturing process. Conversion costs are added evenly throughout the process. During May, the company completed and transferred 22,200 units of product to finished goods inventory. Its 3,000 units of beginning work in process consisted of $19,800 of direct materials and $221,940 of conversion costs. It has 2,400 units (100% complete with respect to direct materials and 80% complete with respect to conversion) in process at month-end. During the month, $496,800 of direct material costs and $2,165,940 of conversion costs were charged to production.
1. Prepare the company’s process cost summary for May using the weighted-average method.
Total costs to account for:Total costs to account for:Total costs accounted forDifference due to rounding cost/unitUnit reconciliation:Units to account for:Total units to account forTotal units accounted for:Total units accounted forEquivalent units of production (EUP)- weighted average methodUnits% MaterialsEUP- Materials% ConversionEUP- ConversionTotal unitsCost per equivalent unit of productionMaterialsConversionTotal costsCostsCosts÷ Equivalent units of productionEUPEUPCost per equivalent unit of productionTotal costs accounted for:Cost of units transferred out:EUPCost per EUPTotal costDirect materialsConversionTotal costs transferred outCosts of ending work in processEUPCost per EUPTotal costDirect materialsConversionTotal cost of ending work in processTotal costs accounted for
Explanation / Answer
Total costs to account for: Costs of beginning work in process 241740 Costs incurred this period 2662740 Total costs to account for: 2904480 Total costs accounted for 2904480 Difference due to rounding cost/unit 0 Unit reconciliation: Units to account for: Beginning work in process inventory - units 3000 Units started this period 21600 Total units to account for 24600 Total units accounted for: Units completed and transferred out 22200 Ending work in process - units 2400 Total units accounted for 24600 Equivalent units of production (EUP) - weighted average method Units % Materials EUP-Materials % Conversion EUP-Conversion Units completed and transferred out 22200 100% 22200 100% 22200 Ending work in process - units 2400 100% 2400 80% 1920 Total units 24600 24120 Cost per equivalent unit of production Materials Conversion Cost of beginning work in process 19800 221940 Costs incurred this period 496800 2165940 Total costs Costs 516600 Costs 2387880 ÷ Equivalent units of production EUP 24600 EUP 24120 Cost per equivalent unit of production 21.00 99.00 Total costs accounted for: Cost of units transferred out EUP Cost per EUP Total cost Direct materials 22200 21.00 466200 Conversion 22200 99.00 2197800 Total costs transferred out 2664000 Costs of ending work in process EUP Cost per EUP Total cost Direct materials 2400 21.00 50400 Conversion 1920 99.00 190080 Total cost of ending work in process 240480 Total costs accounted for 2904480
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.