ACCT42 Mid-term Study Guide Chapter 16

The Wrapping Departments output during the period consists of 21,000 units completed and transferred out, and 900 units in ending work in process that were 75%complete as to materials and conversion costs. Beginning inventory was 1,200 units that were 30% complete as to materials and conversion costs. Under the FIFO method, what are the equivalent units of production for materials? A. 21,315 B. 22,515 C. 21,675 D. 22,035

A, 21,315

Cinder company had the following department information for the month Total materials costs 60,000 Equivalent units of materials 10,000 Total conversion costs 90,000 Equivalent units of conversion costs 20,000 How much is the total manufacturing cost per unit A. 4.50 B. 10.50 C. 5.00 D. 6.00

B, 10.50

Minor Company had the following department data: Physical Units Work in process, July 1 30,000 Completed and transferred out 165,000 Work in process, July 31 45,000 Materials are added at the beginning of the process. What is the total number of equivalent units for materials in July? A. 180,000 B. 210,000 C. 165,000 D. 240,000

B, 210,000

The molding department of Kennet company has the following production data: beginning work in process 25,000 units (60% complete), started into production 475,000 units completed, and transferred out 450,000 units, and ending work in process 50,000 units (40% complete). Assuming conversion costs are incurred uniformly during the process the equivalent units for conversion costs are: A. 470,000 B. 470,000 C. 455,000 D. 500,000

B, 470,000

Cohen Company is trying to determine the equivalent units for conversion costs with 5,000 units of ending work in process at 80% completion and 45,000 units that are 100% complete as to materials. There are no beginning units in the department. Materials are added at the beginning of the process, and conversion costs occur evenly throughout the entire production period. What is the equivalent units of production for conversion costs for the current period? A. 44,000 B. 49,000 C. 50,000 D. 4,000

B, 49,000

Solis company uses the FIFO method to compute equivalent units. It has 4,000 units in beginning work in process 20% complete as to conversion costs and 50% complete as to materials cost 66,000 units started and 6,000 units in ending work in process 30% complete as to conversion costs and 80% complete as to materials cost. How much are the equivalent units for materials under the FIFO method? A.68,800 B. 66,800 C. 70,000 D. 66,000

B, 66,800

In computing equivalent units __________ is not part of the equivalent units of production formula A. units transferred out B. beginning work in process C. ending work in process D. none of the above

B, beginning work in process

It is necessary to calculate equivalent units of production in a department because A. the physical units in the department are always 100% complete B. some units worked on in the department are not fully complete C. a physical count of units is impossible D. at times a department may use a job oder cost system and then switch to a process cost system

B, some units worked on in the department are not fully complete

In the Camria Company materials are entered at the beginning of the process. If there is no beginning work in process, but there is an ending work in process inventory the number of equivalent units as to materials costs will be A. the same as the units completed B. the same as the units started C. less than the units completed D. less than the units started

B, the same as the units started

The Assembly Department shows the following information: Beginning work in process 20,000 Ending work in process 65,000 Units transferred out 31,000 How many total units are to be accounted for by the Assembly Department? A. 65,000 B. 85,000 C. 96,000 D. 76,000

C, 96,000

In the month of June a department has 20,000 units in beginning work in process that were 70% complete. During June 90,000 units were transferred into production from another department. At the end of June there were 10,000 units in ending work in process that were 40% complete. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. How many units were transferred out of the process in June? A. 90,00 units B. 80,000 units C. 110,000 units D. 100,000 units

D, 100,000 units

A process began the month with 3,000 units in the beginning work in process inventory and ended the month with 2,000 units in the ending work in process. If 22,000units were completed and transferred out of the process during the month, how many units were started into production during the month? A. 20,000 B. 23,000 C. 22,000 D. 21,000

D, 21,000

Maisley company decided to analyze certain costs for June of the current year. Units started into production equaled 28,000and ending work in process equaled 4,000. With no beginning work in process inventory, how much is th econversion cost per unit if ending work in process was 25% complete and total conversion costs equaled $140,000? A. 2.80 B. 5.00 C. 4.40 D. 5.60

D, 5.60

A process with no beginning work in process completed and transferred out 35,000 units during a period and has 14,000 units in the ending work in process that were 50% complete. How much is equivalent units of production for the period of conversion costs? A. 49,000 equivalent units B. 28,000 equivalent units C. 56,000 equivalent units D. 42,000 equivalent units

D. 42,000 equivalent units

A Department adds materials at the beginning of the process and incurs conversion costs uniformly throughout the process. For the month of July, there was no beginning work in process; 40,000 units were completed and transferred out , and there were 20,000 units in the ending work in process that were 40% complete. During July , $120,000 materials cost and $105,000 conversion costs were charged to the department The unit production costs for materials and conversion costs for July was: Materials: Conversion costs: A. 3.00 2.66 B. 2.00 1.75 C. 2.00 2.19 D. 2.50 1.75

c, 2.00 and 2.19