Tripoli Parts uses job order costing. On Job 4265, they manufactured 500 parts. Job costs, before inspection, totaled $5,000.At the inspection point, 50 parts were were slightly damaged. The damage was due to the specifications of Job 4265.The production manager was able to correct the 50 parts at an additional cost of $400.

What was the final cost per part on Job 4265?

2.) Tripoli Parts use job order costing.On Job 4267:

Total cost was $15,000.

250 of the 15,000 units completed in the job were damaged.The damage was due to the specifications of the job.

The damaged units were sold for $1,000.

What was the final cost per unit on Job 4267?

3.) An error was made in determining the stage of completion related to ending inventory in a process costing system.Production thought the ending inventory was 60% complete but it was actually only 50% complete.How did this error affect the cost per equivalent unit of production for the period?

4.) Augustus Machinery uses process costing (one processing department).There was no beginning inventory on March 1.During March, they produced 10,000 units.At the inspection point, it was noticed that 500 of the units were damaged and had to be thrown out.Normal spoilage for Augustus would be 200 units in a month like March. There was no work in process at 3/31.

How many units were transferred to Finished Goods during March?

Assuming the cost per unit was $5 in March, what was the total cost of the units transferred to Finished Goods?

How much was debited to Loss from Abnormal Spoilage in March?

5.) Tripoli Parts uses job order costing.The total cost of Job 4266 was $10,000.Of the 5,000 units produced, 200 of them were damaged beyond repair.The 200 parts could not be sold.

1.If the damage was due to specifications of the job:

a.What account should be credited for the cost of the damaged parts?

b.What's the final cost per part on Job 4266?

2.If the damage was due to an equipment failure not related to the job

a.What account should be credited for the cost of the damaged parts? WIP

b.What is the final cost per part on Job 4266?

6.) Tripoli Parts uses job order costing.$1,000 worth of scrap material was generated in Job 25-25.

If $1,000 is not considered significant, when should the revenue be recognized?

If the $1,000 is considered significant, when should the revenue be recognized?

If the $1,000 is considered significant and the scrap is not attributable to the job, what account should be debited in the entry?

Answer rating: 100% (QA)

1 For Job 4265 the final cost per part can be calculated by adding the additional cost of correcting the damaged parts 400 to the initial job costs 5000 and then dividing the total cost by the number ... View the full answer