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The ledger of Custer Company has the following work in process account. Work in

ID: 2445768 • Letter: T

Question

The ledger of Custer Company has the following work in process account. Work in Process—Painting 5/1 Balance 3,840 5/31 Transferred out ? 5/31 Materials 6,220 5/31 Labor 3,720 5/31 Overhead 1,730 5/31 Balance ? Production records show that there were 590 units in the beginning inventory, 30% complete, 1,590 units started, and 1,510 units transferred out. The beginning work in process had materials cost of $3,120 and conversion costs of $1,700. 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? Work in process, May 31 units

(b) What is the unit materials cost for May? (Round unit cost to 3 decimal places, e.g. 2.257.) The unit materials cost for May $

(c) What is the unit conversion cost for May? (Round unit cost to 3 decimal places, e.g. 2.257.) The unit conversion cost for May $

Explanation / Answer

Answer:(a)

Answer:(b)

Answer:c

Particulars Units Work in process, May 1 590 Started into production 1590 Total units to be accounted for 2180 Less: Transferred out 1510 Work in process, May 31 670
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