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CHAPTER 12
Answers to Multiple Choice - Theoretical
1. 2. a c 3. 4. a b 5. 6. 7. b a a

Solutions to Multiple Choice Computational


1. (b) Units completed: From BWIP: (50% x 100) From started in process (100%) Work in process, end: (75% x 200) EUP 2. (d) Unit material cost: Material cost this month Divided by EUP Unit cost Ending work in process: (P1,440 x 150) 3. (a) Equivalent unit of production Labor Transferred out: From BWIP: (60% x 1,000) From transferred in Ending work in process: (70% x 4,000) EUP Unit labor cost: Labor cost this month Divided by EUP Unit labor cost Transferred out: From BWIP: Labor cost last month Labor cost this month (600 x P8.10) From transferred in; (26,000 x P8.10) Overhead cost of units transferred out P720,000 500 P 1,400 P216,000 50 300

350 150 500

600 26,000

26,600 2,800 29,400 P238,140 29,400 P 8.10

P 3,600 4,860

P 8,460 210,600 P219,060

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4. (a) Equivalent units of production Overhead: Transferred out: From BWIP (3,300 x 2/3) From transferred in Ending work in process (2,000 x ) EUP Unit overhead cost: Overhead cost incurred this month Divided by EUP Unit overhead cost Transferred out: From BWIP: Overhead cost last month P 2,332 Overhead cost this month (2,200 x P2.25) 4,950 From transferred in (13,200 x P2.25) Overhead cost of units transferred out 5. (b) Transferred out: From BWIP (40% x 16,000) From SIP 92,000 16,000) Ending work in process (90% x 24,000) EUP materials 6. (d) Transferred out: From BWIP (80% x 16,000) From SIP Ending work in process (40% x 24,000) EUP conversion cost 7. (b) Material cost incurred this month Divided by EUP Unit material cost 8. (b) Conversion cost incurred this month Divided by EUP Unit conversion cost 9. (a) Materials (21,600 x P4.50) Conversion cost (9,600 x P5.83) Cost of EWIP P 97,200 55,968 P153,168 P574,040 98,400 P 5.83 P468,000 104,000 P 4.50 12,800 76,000 6,400 76,000

2,200 13,200

15,400 1,500 16,900 P38,025 16,900 P 2.25

P 7,282 29,700 P36,982

82,400 21,600 104,000

88,800 9,600 98,400

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10. (a) Equivalent units of production: Materials: Transferred out: From BWIP (5,000 x 0%) From SIP (91,400 5,000) Ending work in process (4,000 x 100%) EUP Conversion cost: Transferred out: From BWIP (5,000 x 60%) From SIP Ending work in process (4,000 x 70%) EUP Unit costs: Materials: (P433,920 / 90,400) Conversion cost: (P115,250 / 92,200) Total unit costs Transferred out: From BWIP: Cost last month Cost this month: Conversion cost (3,000 x P1,25) From SIP (86,400 x P6.05) Total cost transferred out 11. (a) Material costs: (4,000 x P4.80) Conversion costs: (2,800 x P1.25) Cost of ending work in process 12. (a) Gallons transferred out Gallons in ending inventory Total units accounted for Gallons in beginning inventory Gallons started in April 242,000 23,500 265,500 (36,000) 229,500 P19,200 3,500 P22,700

-086,400

86,400 4,000 90,400

3,000 86,400

89,400 2,800 92,200 P 4.80 1,25 P 6.05

P24,875 3,750 P 28,625 522,720 P551,345

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13. (a) Equivalent Units of Production: Material: Transferred out: From BWIP: (0%) From SIP: (242,000 36,000) Ending work in process: (23,500 x 100%) EUP Labor: Transferred out: From BWIP: (36,000 x 65%) From SIP: (100%) Ending work in process: (23,500 x 25%) EUP Overhead: Transferred out: From BWIP: (36,000 x 40%) From SIP Ending work in process: (23,500 x 30%) EUP Unit costs: Material costs: (P1,131,435 / 229,500) Labor costs: (P451,728 / 235,275) Overhead costs: (P773,330 / 227,450) Total unit costs Completed BWIP Cost last month Cost this month: Materials: Labor: (23,400 x P1.92) Overhead: (14,400 x P3.40) Total costs of completed BWIP 14. (a) Units completed: From BWIP (#13) From SIP: (206,000 x P10.25) Total costs of units completed 15. (a) Total costs of units completed (#14) Divided by total units completed Average unit cost P2,481,788 242,000 P 10.26 P 370,288 2,111,500 P2,481,788

- 0 206,000

206,000 23,500 229.500

23,400 206,000

229,400 5,875 235,275

14,400 206,000

220,400 7,050 227.450 P 4.93 1.92 3.40 P10.25 P276,400

-044,928 48,960

93,888 P370,288

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16. (a) Materials: (23,500 x P4.93) Labor: (5,875 x P1.92) Overhead: (7,050 x P3.40) Total cost of EWIP 17. (b) Equivalent Units of Production Materials Units completed: From BWIP: (20 x 0%) From SIP: (90 20) 100% Ending work in process: (10 x 100%) EUP Unit material cost: Material cost incurred this month Divided by EUP Unit material cost 18. (a) Equivalent Units of Production Conversion Cost: Units completed: From BWIP: (20 x 40%) From SIP Ending work in process: (10 x 70%) EUP Unit conversion cost: Conversion costs incurred this month Divided by EUP Unit conversion cost 19. (a) Cost incurred last month Cost incurred this month: Conversion costs: (8 x P44,000) Total costs of completed BWIP 20. (a) Transferred out: From BWIP #(19) From SIP; (70 x P144,000) Total cost of units completed Divided by total units completed Average unit cost 21. (a) , See #20 above. P 2,632,000 10,080,000 P12,712,000 90 P 144,244 P2,280,000 352,000 P2,632,000 P115,855 11,280 23,970 P151,105

0 70

70 10 80 P8,000,000 80 P 100,000

8 70

78 7 85 P3,740,000 85 P 44,000

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22. (a) Materials: (10 x P100,000) Conversion cost: (7 x P44,000) Cost of EWIP inventory 23. (a) Equivalent Units of Production - Materials Units completed: From BWIP: (10,000 x 0%) From SIP: (34,000 10,000) 100% Ending work in process: (16,000 x 100%) EUP Materials Unit material cost: (P280,000 / 40,000) 24. (a) Equivalent Units of Production Conversion Costs: Units completed: From BWIP: (10,000 x 30%) From SIP Ending work in process: (16,000 x 50%) EUP Conversion costs Unit conversion costs: (P371,000 / 35,000) 25. (d) Cost last month Cost added this month: Material cost Conversion costs: (3,000 x P10.60) Total cost of competed BWIP 26. (b) Units Transferred out: From BWIP (#25) From SIP: (24,000 x P17.60) Total costs of units transferred out Divided by units transferred out Average unit cost of units transferred out 27. (a) Material cost: (16,000 x P7) Conversion costs: (8,000 x P10.60) Total costs of EWIP inventory P112,000 84,800 P196,800 P 91,800 422,400 P514,200 34,000 P 15.12 P60,000 P -031,800 31,800 P91,800 P1,000,000 308,000 P1,208,000

0 24,000

24,000 16,000 40,000 P 7.00

3,000 24,000

27,000 8,000 35,000 P10.60

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28. (a) Transferred in costs this month Divided by units transferred in this month Unit transferred in cost 29. (a) Equivalent Units of Production: Materials: Competed and transferred out: From BWIP: (40 x 100%) From transferred in: (90 40) 100% Ending work in process: (30 x 0%) EUP Conversion costs:: Completed and transferred out: From BWIP: (40 x 25%) From transferred in Ending work in process: (30 x 50%) EUP Unit costs: Materials: (P36,000 / 90) Conversion costs: (49,725 / 75) 30. (a) Units completed and transferred out: From BWIP: Cost last month Cost added this month: Materials: (40 x P400) CC: (10 x P663) From transferred in: (P1.070 + P400 + P663) x 50 Total costs of units completed and transferred out Ending work in process: Transferred in costs: (30 x P1,070) Costs added this department: Conversion cost: (15 x P663) Total costs of EWIP 31. (d) Equivalent Units of Production Materials: Units completed: From BWIP (150 x 100%) From Transferred In: (525 150) Ending work in process (75 x 0%) EUP Materials P85,600 80 P 1,070

40 50

90 0 90

10 50

60 15 75 P400 P663

P57.200 16,000 6,630 P 79,830 106,650 P186,480 P 32,100 9,945 P 42,045

150 375

525 0 525

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No. 31 (continued) Equivalent Units of production Conversion Costs: Units completed: From BWIP: (150 x 30%) From Transferred In Ending work in process (75 x 60%) EUP CC 32. (a) Material cost incurred this month Divided by EUP Unit material cost 33. (a) Conversion costs incurred this month Divided by EUP Unit conversion costs 34. (a) Cost last month Cost this month: Materials: (150 x 1,850) Conversion costs: (45 x P850) Total costs of completed BWIP 35. (a) Transferred out to finished goods: From BWIP ( #34) From Transferred In: (P1,770* + P1,850 + P850) x 375 Total cost of units transferred out to finished goods
* Unit transferred in cost: (P796,500 / 450) = P1,770

45 375

420 45 465

P971,250 525 P 1,850

P395,250 465 P 850

P327,965 P277.500 38,250 315,750 P643,715

P 643,715 1,676,250 P2,319,965

36.

(a) Transferred in costs from prior department: (75 x P1,770) Cost added in this department: Conversion costs: (45 x P850) Total costs of ending work in process P 132,750 38,250 P 171,000 Conversion Costs P228,800 20.80 11,000

37. Equivalent Units of Production Cost added in current month Divided by cost per EUP EUP Transferred In Costs P234,000 P 26 9,000 Direct Materials P228,000 P12 19,000

Number 37 (continued):

Transferred In costs: Total EUP Started and completed (19,000 - 15,000) EUP Transferred in Direct materials: Total EUP Transferred out From BWIP (15,000 x 100%) From started and completed EUP EWIP Conversion Costs: Total EUP Transferred out: From BWIP (15,000 x 40%) From started and completed EUP EWIP Percentage of Completion: Transferred in costs: (5,000 / 5,000) Direct materials: ( 0 / 5,000) Conversion costs: (1,000 / 5,000) 38. (a) Transferred out: From BWIP: Cost last month Cost added this month: Materials (15,000 x P12) CC: (6,000 x P20.80) Total costs of BWIP From started and completed (4,000 x P58.80) Total costs of units transferred out Ending Work In Process: Transferred in costs from prior department (5,000 x P26) Cost added this department: Conversion costs: (1,000 x P20.80) Total costs of EWIP

9,000 (4,000) 5,000 19,000 15,000 4,000 (19,000) -011,000 6,000 4,000 (10,000) 1,000

100% 0% 20%

P 540,000 180,000 124,800 844,000 235,200 P1,080,000 P 130,000 20,800 P 150,800

Solutions to Problems

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Problem 12-1 1. Equivalent Units of Production: Materials: Completed and transferred out: From BWIP: (300 x 0%) From SIP: (2,000 300) 100% Ending work in process: (500 x 100%) EUP Conversion Costs: Completed and transferred out: From BWIP: (300 x 60%) From SIP Ending work in process: (500 x 25%) EUP Unit Costs: Materials: (P699,600 / 2,200) Conversion costs: (P425,060 / 2005) Total unit costs Total costs Forming Department: BWIP Cost added during April: Materials Conversion costs Total costs Assignment of Costs: Units completed and transferred out: From BWIP: Cost last month Cost added this month: CC: (180 x P212) From SIP: (1,700 x P5.30) Total costs completed and transferred out Ending work in process: Materials: (500 x P318) Conversion costs: (125 x P212) Total costs of EWIP 2. Work in process Forming Department 1,124,660 Account payable (materials) Various accounts (conversion costs) To record direct materials and conversion costs incurred And used in production during April. Work in process Finishing Department Work in process Forming Department To record costs of units transferred to Finishing Department.

-01,700

1,700 500 2,200

180 1,700

1,880 125 2,005 P318 212 P530 P 96,250

P699,600 425,060

1,124,660 P1,035,410

P96,250 38,160 P 124,410 901,000 P1,035,410 P 159,000 26,500 P 185,500 699,600 425,060

1,035,410 1,035,410

11 Problem 12 -2
2. Equivalent Units of Production: Materials: Completed and transferred out: From BWIP: (500 x 100%) From SIP: (2,100 500) 100% Ending work in process: (400 x 0%) EUP Conversion costs: Completed and transferred out: From BWIP: (500 x 40%) From SIP Ending work in process: (400 x 30%) EUP Unit Costs: Transferred in costs: (P1,035,410 / 2,000) Materials costs: (P231,000 / 2,100) Conversion costs: (P384,000 / 1,920) Total unit costs Total Costs Finishing Department: Work in process, April 1 Transferred In costs this month Cost added this month: Materials Conversion costs Total costs Assignment of costs: Units completed and transferred out: From BWIP: Cost last month Cost added this month: Materials: (500 x P110) CC: (200 x 200) From SIP: (1,600 x P827.705) Total costs of units completed and transferred out Ending Work in Process: Transferred In costs: (400 x P517.705) Cost added: Conversion costs: (120 x P200) Total costs of EWIP 2. Work in process Finishing Department 1,035,410 Work in process Forming Department To record transferred in costs from Forming Department. Finished goods 1,667,028 Work in process Finishing Department To record cost units transferred out to finished goods.

500 1,600

2,100 -0 2,100

200 1,600

1,800 120 1,920 P517.705 110.00 200.00 P827.705 P 247,700 1,035,410

P231,000 384,000

615,000 P1,898,110

P247,700 55,000 40,000 P 342,700 1,324,328 P1,667,028 P 207,082 24,000 P 231,082 1,035,410

1,667,028

12 Problem 12-3
1. Equivalent Units of Production: Materials: Completed and transferred out: From BWIP: (4,000 x 0%) From SIP: (50,000 4,000) 100% Ending work in process: (6,000 x 100%) EUP Conversion Costs: Completed and transferred out: From BWIP: (4,000 x 40%) From SIP Ending work in process: (6,000 x 75%) EUP 2. Cooking Department Cost of Production Report Month of July 2010 Quantity Schedule Beginning work in process Started in process Units to account for Completed and transferred out: From BWIP 4,000 From SIP 46,000 Ending work in process Total accounted for Cost Schedule BWIP Cost added this month: Materials Conversion costs Total costs to account for Completed and transferred Out: From BWIP: Cost last month Cost added this month: Conversion costs Total BWIP From SIP Total costs transferred out Ending work in process: Materials Conversion costs Total EWIP Total costs accounted for Units 4,000 52,000 56,000

-046,000

46,000 6,000 52,000

1,600 46,000

47,600 4,500 52,100

50,000 6,000 56,000 Total Cost P 84,448 595,920 860,692 P1,541,060 EUP Unit Costs

52,000 = P11.46 52,100 = 16.52 P27.98

84,448 = = 1,600 x 4,600 x P16.52 27.98

26,000 110,880 1,287,080 P1,297,960 P 68,760 74,340 143,100 P1,541,060

= =

6,000 x 4,500 x

11.46 16.52

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Problem 12-4
1. Equivalent Units of Production: Materials: Transferred out: From BWIP: (8,000 x 20%) From SIP: (44,000 8,000) Ending work in process: (4,000 x 70%) EUP Labor: Transferred out: From BWIP: (8,000 c 60%) From SIP Ending work in process: (4,000 x 50%) EUP Overhead: Transferred out: From BWIP: (8,000 x 70%) From SIP Ending work in process: (4,000 x 40%) EUP

1,600 36,000

37,600 2,800 40,400

4,800 36,000

40,800 2,000 42,800

5,600 36,000

41,600 1,600 43,200

2.

Curing Department Cost of Production Report Month of May 2010 Quantity Schedule Beginning work in process Transferred In from prior department Units to account for Transferred out: From BWIP From Transferred In Ending work in process Total accounted for 8,000 36,000 Units 8,000 40,000 48,000

44,000 4,000 48,000

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Problem 12-4 (continued) Cost Schedule Beginning work in process Transferred In cost - current month Cost added this department: Materials Labor Overhead Total costs to account for Costs accounted for as follows: Transferred out: From BWIP: Cost last month Cost added this month: Materials Labor Overhead Total BWIP From Transferred In Total costs transferred out Ending Work in process: Transferred in costs Cost added: Materials Labor Overhead Total EWIP Total costs accounted for Total Costs P 202,520 640,000 323,200 171,200 86,400 P1,423,320 EUP 40,000 40,400 42,800 43,200 Unit Costs = P16.00 = = = 8.00 4.00 2.00 P30.00

P 202,520 12,800 19,200 11,200 245,720 1,080,000 1,325,720 64,000 22,400 8,000 3,200 97,600 P1,423,320 = = = = 1,600 4,800 5,600 36,000 x x x x P 8.00 4.00 2.00 30.00

= = = =

4,000 2,800 2,000 1,600

x x x x

16.00 8.00 4.00 2.00

Problem 12-5

15

1.

Equivalent Units of Production: Materials: Transferred out to finished goods: From BWIP: (1,000 x 10%) From SIP: (2,800 1,000) 100% Ending work in process: (1,200 x 50%) EUP Conversion costs: Transferred out to finished goods: From BWIP: (1,000 x 20%) From SIP Ending work in process: (1,200 x 40%) EUP

100 1,800

1,900 600 2,500

200 1,800

2,000 480 2,480

2.

Assembly Department: Cost of Production Report Month of November 2010 Quantity Schedule Beginning work in process Started in process Total to be accounted for Transferred out to finished goods: From BWIP From SIP Ending work in process Total accounted for Cost Schedule Beginning work in process Costs from prior department Costs added this department: Materials Conversion costs Total to accounted for Transferred out to finished goods: From BWIP: Cost last month Current costs: Materials CC Total BWIP From SIP Total costs transferred out Ending work in process: Cost from prior department Cost added this department: Materials Conversion cost Total BWIP Total accounted for 1,000 1,800 Units 1,000 3,000 4,000

2,800 1,200 4,000 EUP 3,000 Unit Costs = P 97.50 53.50 106.00 P257.00

Total Costs P 397,000 292,500 133,750 262,880 P1,086,130 P 397,000 5,350 21,200 423,550 462,600 P 886,150 117,000 32,100 50,880 199,980 P1,086,130

2,500 = 2,480 =

= = = = = =

100 200 1,800 1,200 600 480

x x x x x x

53.50 106.00 257.00 97.50 53.50 106.00

Problem 12-6

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1.

Equivalent Units of Production: Department 1 Materials: Transferred out: From BWIP: From SIP Ending work in process EUP Conversion costs: Transferred out: From BWIP From WIP Ending work in process EUP -040,000 10,000 (100%) 50,000 1,750 (35%) 40,000 7,500 (75%) 49,250 Department 2 -036,000 9,000 (100%) 45,000 4,200 (60%) 36,000 4,500 (50%) 44,700

2.

Department 1 Cost of Production Report For the Month of May 2010 Quantity Schedule Beginning work in process Started in process Total to account for Transferred out to Department 2: From BWIP From SIP Ending work in process Total accounted for Cost Schedule Beginning work in process Cost added this month: Direct materials Conversion costs Total to account for Costs accounted for as follows: Transferred out to Department2: From BWIP: Cost last month Cost added: CC Total BWIP From SIP Total costs transferred out Ending work in process: Materials Conversion costs Total costs of BWIP Total accounted for Problem 12-6 (continued) Units 5,000 50,000 55,000 5,000 40,000 10,000 55,000 Total Costs P 32,475 65,000 142,825 P240,300 EUP 50,000 = 49,250 = Unit Costs P1.30 2.90 P4.20

P 32,475 5,075 37,550 168,000 205,550 13,000 21,750 34,750 P240,300 = = 1,750 x 40,000 x P2.90 4.20

= =

10,000 x 7,500 x

1.30 2.90

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Department 2 Cost of Production Report Month of May 2010 Quantity Schedule Beginning work in process Transferred In from prior department Total to account for Transferred out to finished goods: From BWIP From TI Ending work in process Total accounted for Cost Schedule Beginning work in process Cost from prior department Cost added this department: Direct materials Conversion costs Total to account for 7,000 36,000 Units 7,000 45,000 52,000

43,000 9,000 52,000 EUP 45,000 Unit Costs = P4.56778 1.00 2.46 P8.02778

Total costs P 65,560 205,550 45,000 109,962 P426,072

45,000 = 44,700 =

Cost accounted for: Transferred out to finished goods: From BWIP: Cost last month P 65,560 Cost added this month: CC 10,332 Total BWIP 75,892 From transferred in 289,000 Total costs transferred to FG P364,892 Ending work in process: Transferred In Cost added: Materials Conversion costs Total EWIP Total accounted for P 41,110 9,000 11,070 61,180 P426,072

= =

4,200 36,000

x P2.46 x 8.02778

= = =

9,000

4.56778 1.00 2.46

9,000 x 4,500 x

Problem 12-7

18

1.

Equivalent Units of Production: Cutting Department Beginning WIP Started in process Total to account for Transferred Out: From BWIP From SIP Ending WIP EUP Coating Department Beginning WIP Started in process Total to account for Transferred out: From BWIP From SIP Ending WIP EUP Units 1,300 4,800 6,100 1,200 3,700 1,100 6,100 Units 900 5,000 5,900 900 3,600 1,400 5,900 Materials Conversion

260 3,700 440 4,400 Materials

325 3,700 220 4,245 Conversion

900 3,600 -04,500

360 3,600 560 4,520

2.

Cost per equivalent unit: Cutting Department Current costs Divided by EUP Unit costs Material P35,200 4,400 P 8 Conversion P25,470 4,245 P 5

3.

Cost transferred out and EWIP inventory of Cutting Department: Cost of BWIP Cost to complete BWIP: Material: (260 x P8) Conversion: (325 x P5) Started and completed : (3,700 x P13) Total costs transferred out Ending WIP: Materials: (440 x P8) Conversion costs: (220 x P5) Total costs P16,065 P 2,080 1,625 48,100

51,805 P67,870

P3,520 1,100

4,620 P72,490

Problem 12-7 (continued)

19

4.

Coating Department Current costs Divided by EUP Unit cost Cost Assignment:

Transferred In P67,870 5,000 P13.574

Material P4,950 4,500 P 1.10

Conversion P11,300 4,520 P 2.50

Transferred out: From BWIP: Cost last month Cost added this month: Material: (900 x P1.10) Conversion: (360 x P2.50) From SIP: (3,600 x P17.17) Total cost transferred out Ending WIP: Transferred in: (1,400 x P13.574) Conversion cost: (560 x P2.50) Total costs accounted for 5.

P13,514 990 900 P15,404 61,812 P77,216

P19,004 1,400

20,404 P97,620

Since there was no beginning or ending FG inventory, cost of goods sold is equal to cost of goods manufactured (transferred out to FG) for the period. Thus COGS = P77,216

Problem 12-8

20
1. Equivalent Units of Production Molding Department: Materials: Transferred out: From BWIP: (700 x 0%) From SIP: Ending WIP: (500 x 100%) EUP Labor: Transferred out: From BWIP: (700 x 45%) From SIP Ending WIP: (500 x 60%) EUP Overhead: Transferred out: From BWIP: (700 x 30%) From SIP: Ending WIP: (500 x 75%) EUP 2.

-03,400

3,400 500 3,900

315 3,400

3,715 300 4,015

210 3,400

3,610 375 3,985

Equivalent Units of Production Finishing Department: Materials: Transferred Out: From BWIP: (420 x 50%) From SIP Ending WIP: (380 x 25%) EUP Labor: Transferred Out: From BWIP: (420 x 60%) From SIP Ending WIP: (380 x 25%) EUP Overhead: Transferred Out: From BWIP: (420 x 60%) From SIP Ending WIP: (380 x 25%) EUP

210 3,720

3,930 95 4,025

252 3,720

3,972 95 4,067

252 3,720

3,972 95 4,067

Problem 12-8 (continued)

21
2. Molding Department: Cost of Production Report Month of June 2010 Quantity Schedule Beginning WIP Started in process Total to account for Transferred out: From BWIP From SIP Ending WIP Total accounted for Cost Schedule Beginning WIP Costs added in current month: Materials Labor Overhead Total cost to account for Transferred out: From BWIP: Cost in BWIP Cost added in current month: Labor Overhead Total BWIP From SIP Total cost transferred out Ending WIP Materials Labor Overhead Total Ending WIP Total accounted for 700 3,400 Units 700 3,900 4,600

4,100 500 4,600 Total Costs P11,918.20 36,660.00 24,090.00 26,221.30 P98,889.50 EUP 3,900 4,015 3,985 = = = Unit Costs P 9.40 6.00 6.58 P21.98

P11,918.20 1,890.00 1,381.80 15,190.00 74,732.00 P89,922.00 4,700.00 1,800.00 2,467.50 8,967.50 P98,889.50 = = = 315 210 3,400 x x x P 6.00 6.58 21.98

= = =

500 300 375

x x x

9.40 6.00 6.58

4.

Finishing Department

22
Cost of Production Report Month of June 2010 Quantity Schedule Beginning WIP Transferred In from prior department Total to account for Transferred Out: From BWIP From TI Ending WIP Total accounted for Cost Schedule Beginning WIP Transferred In costs this month Cost added this month: Material Labor Overhead Total to account for Transferred Out: From BWIP: Cost of BWIP Cost added in current month: Material Labor Overhead Total cost of BWIP From Transferred In Total costs transferred to FG Ending WIP: Transferred In Cost added: Material Labor Overhead Total cost of EWIP Total accounted for *P5 difference due to rounding off 420 3,720 Units 420 4,100 4,520

4,140 380 4,520 EUP 4,100 Unit Costs = P21.93220 1.00 3.98 1.97935 P28.89155

Total Costs P 10,232.04 89,922.00 4,025.00 16,186.66 8,050.00 P128,415.70

4,025 = 4,067 = 4,067 =

P 10,232.04 210.00 1,002.96 498.80 11,943.80 107,476.57 P119,420.32* P 8,334.24 95.00 378.10 188.04 8,995.38 P 128,415.70 = = = = 210 x P 1.00 252 x 3.98 252 x 1.97935 3,720 x 28.89155

= = = =

380

21.93220 1.00 3.98 1.97935

95 x 95 x 95 x

Problem 12-8 (continued)

23

5.

Work in process Finishing Department Work in process Molding Department To record cost of units transferred out from Molding Department to Finishing Department. Finished Goods Inventory Work in process Finishing Department To record cost of finished goods.

89,922.00 89,922.00

119,420.22 119,420.22

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