AC 323 Final Exam
Timekeeper Inc ... What is the conversion cost per equivalent unit in June?
441.24
Comfort Chair Company ... What is the cost of the goods transferred out during February?
454,694.80
The Swivel Chair ... How many chairs were in inventory at the beginning of the month?
48,000
Assembly department of Zahra Technologies ... Calculate the total equivalent units ending inventory for assignment of conversion costs?
50 units
In a process-costing system, the calculation of equivalent units is used for calculating____?
the dollar amount of the cost of goods sold for the accounting period
The weighted-average process-costing method calculates the equivalent units by ____?
the equivalent units completed during the current period plus the equivalent units in ending inventory
Dessa Cabinets Inc. ... What is the cost per equivalent unit of the beginning inventory in the Finishing Department?
$1,000
Serile Pharma places 900 units in production during the month of January....
$100
Vital Industries manufactured 1,200 units of its product Huge in the month of April. It incurred a total cost of $120,000 during the month. Out of this $120,000, $45,000 compromised of direct materials used in the product and the rest was incurred because of the conversion cost involved in the process.....
$100
Charlie Chairs Inc ... what is the cost per equivalent unit of beginning inventory in Department A?
$3,250
Timekeeper Inc ...What is the total amount debited to the WIP account during the month of June?
1,000,000
Shiffon Electronics ... What are the equivalent units for direct materials and conversion costs
1,100 units & 1,050 units
Timekeeper Inc ... What are the equivalent units for direct materials and conversion costs
1,250 & 1,212.5
Shiffon Electronics ... What is the conversion cost per equivalent unit in Marc?
1,409.52
Dessa Cabinets Inc. ... How many units were completed and transferred out of the Finishing Department during March?
1,700 units
Shiffon Electronics ... What is the total amount debited to the WIP account during the month of March?
1,820,000
Jane Industries ... What is the amount of direct materials cost assigned to ending work in process inventory and the end of October?
10,500
Jane Industries ... What were the equivalent units for conversion costs during October?
11,125
Weighty Steel ... What is the total cost assigned to the units completed and transferred this period?
113,160
The Swivel Chair ... Of the 145,000 units Swivel started during February, how many were finished during the month?
127,000
The Swivel Chair ... What were the equivalent units for conversion costs for February if beginning inventory was 70% complete as to conversion costs and the ending inventory was 40% complete as to conversion costs?
182,200
The Swivel Chair ... What were the equivalent units for materials for February?
193,000
Assembly department of Zahra Technologies ... What is the total equivalent units in ending inventory for assignment of direct materials cost?
200 units
Comfort Chair Company ... What is the amount of direct materials cost assigned to ending work in process inventory and the end of February?
23,000
Jane Industries ... What is the cost of the goods transferred out during October?
26,678
An assumption of the FIFO process-costing method is that ____
the units in beginning inventory are assumed to be completed first
Timekeeper Inc ... What is the direct materials cost per equivalent unit during June?
552
Assembly department of Zahra Technologies ... The number of equivalent units of work done during the month for direct materials is ___?
600 units
Comfort Chair Company ... How many of the units were started and completed during February?
63,000
Shiffon Electronics ... What amount of conversion costs is assigned to the ending WIP account for April?
70,476
Jane Industries ... How many of the units were started and completed during October?
8,500
Comfort Chair Company ... What were the equivalent units for conversion costs during February?
81,500
Timekeeper Inc ... What amount of direct materials costs is assigned to ending WIP account for June?
82,800.50
Charlie Chairs Inc... How many units were completed and transferred out of Department A during February?
900 units
Shiffon Electronics ... What amount of direct materials costs is assigned to the ending WIP account for March?
95,000
Shiffon Electronics ... What is the direct materials cost per equivalent unit during March?
950
Process costing should be used to assign costs to products when ________?
the units produced are similar
Which of the following statements is true?
In a process-costing system, each unit uses approx the same amount of resources
Which of the following statements is true of conversion costs?
In process costing, they are usually considered to be added evenly throughout the production process
Which of the following is true of weighted-average process-costing?
It calculates the cost per equivalent unit of all work done to date, regardless of the accounting period in which it was done
Costing systems that are used for the costing of like or similar units of products in mass production are called _____
Process-Costing Systems
Which of the following are most likely to use process costing?
Red Paste Inc, a company manufacturing and selling toothpaste on a large scale
When a Bakery transfers the goods from the Mixing Department to the Baking Department, the accounting entry is
Work in Process - Baking Work in Process - Mixing
The purpose of the equivalent-unit computation is to____?
assist the business in determining the cost assigned to ending inventory and work in process inventory
In a process-costing system average unit costs are calculated ______?
by dividing total costs in a given accounting period by total units produced in that period
Which of the following statements best describes conversion costs?
conversion costs are all manufacturing costs other than direct materials cost
An example of a business which would have no beginning or ending inventory but which could use process costing to compute unit costs would be a ______?
corporation whose sole business activity is processing the customer deposits of several banks
In the computation of the cost per equivalent unit, the weighted-average method of process costing considers all the costs _____
entering work in process from the units in beginning inventory plus the costs for the work completed during the current accounting period
If there was no beginning work in process and no ending work in process under the weighted-average process costing method, the number of equivalent units for direct materials, if direct materials were added to the start of process, would be _____
equal to the units completed during the period
Which of the following statements is true?
estimating the degree of completion is usually easier for direct material costs than for conversion costs
Under the weighted-average method, the stage of completion of beginning work in process _____
is irrelevant in determining the equivalent-unit calculation
On occasion, the FIFO an the weighted-average methods of process costing will result in the same dollar amount of costs being transferred to the next department. Which of the following scenarios would have that result?
when there is no ending inventory
A distinct feature of the FIFO process-costing method is that the _____
work done on beginning inventory before the current period is kept separate from the work done during the current period in the calculation of equivalent units
