The following information concerns production in the Forging Department for June. All direct materials are placed into the process at the beginning of production, and conversion costs are incurred evenly throughout the process. The beginning inventory consists of $92,340 of direct materials. ACCOUNT Work in Process-Forging Department Date Item June 1 Bal., 8,100 units, 70% completed 30 Direct materials, 74,000 units 30 Direct labor 30 Factory overhead 30 Goods transferred, 2 units Debit Credit 821,400 62,560 86,400 ACCOUNT NO. Balance Balance - Debit Credit 103,113 924,513 987,073 1,073,473 30 Bal, 6,500 units, 70% completed a. Determine the number of units transferred to the next department. units b. Determine the costs per equivalent unit of direct materials and conversion. If required, round your answer to two decimal places. Cost per equivalent unit of direct materials Cost per equivalent unit of conversion c. Determine the cost of units started and completed in June.

The following information concerns production in the Forging Department for June. All direct materials are placed into the process at the beginning of production, and conversion costs are incurred evenly throughout the process. The beginning inventory consists of $92,340 of direct materials. ACCOUNT Work in Process-Forging Department Date Item June 1 Bal., 8,100 units, 70% completed 30 Direct materials, 74,000 units 30 Direct labor 30 Factory overhead 30 Goods transferred, 2 units Debit Credit 821,400 62,560 86,400 ACCOUNT NO. Balance Balance - Debit Credit 103,113 924,513 987,073 1,073,473 30 Bal, 6,500 units, 70% completed a. Determine the number of units transferred to the next department. units b. Determine the costs per equivalent unit of direct materials and conversion. If required, round your answer to two decimal places. Cost per equivalent unit of direct materials Cost per equivalent unit of conversion c. Determine the cost of units started and completed in June.

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Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter3: Process Cost Systems

Section: Chapter Questions

Problem 14E: Cost per equivalent unit The following information concerns production in the Forging Department for...

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