Hound Havens produces plastic doghouses as part of a continuous process through two departments: Molding and Finishing.

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Hound Havens produces plastic doghouses as part of a continuous process through two departments: Molding and Finishing. Direct materials and conversion are added throughout the month in both departments, but at different rates. The information presented below was compiled at the end of April:


Hound Havens produces plastic doghouses as part of a continuous


Instructions
a. Complete the following requirements for the Molding Department:
1. Prepare a schedule showing units started and completed in the Molding Department during April.
2. Compute the equivalent units of direct materials and conversion for the Molding Department in April.
3. Determine the cost per equivalent unit of input resource for the Molding Department during April.
4. Prepare the summary journal entry required to transfer units from the Molding Department to the Finishing Department during April.
5. Compute the costs assigned to ending inventory in the Molding Department on April 30.
b. Complete the following requirements for the Finishing Department:
1. Prepare a schedule showing units started and completed in the Finishing Department during April.
2. Compute the equivalent units of direct materials and conversion for the Finishing Department in April. Direct materials include both those transferred in from the Molding Department and those added by the Finishing Department.
3. Determine the cost per equivalent unit of input resource for the Finishing Department during April.
4. Prepare the summary journal entry required to transfer units from the Finishing Department to Finished Goods Inventory during April.
5. Compute the costs assigned to ending inventory in the Finishing Department on April30.

Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula                Ending Inventory Formula =...
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Related Book For  answer-question

Financial and Managerial Accounting the basis for business decisions

ISBN: 978-0078111044

16th edition

Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello

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