17. The following production data were taken from the records of the Finishing Department for June:...

 

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17. The following production data were taken from the records of the Finishing Department for June: Beginning work in process, 4,000 units, 60% completed 58,000 units started this period Direct materials added Direct labor incurred Factory overhead incurred $ 20,200 348,000 169,500 3,000 During June, the units in process at June 1 were completed, and of the 58,000 units entering the department, all were completed except 3,000 units which were 30% completed. Inventories are costed by the first-in, first-out method. The first-in, first-out method is used to cost inventories. (1) How many units in Group 1 (work in process on June 1). Group 2 (started and completed during June), and Group 3 (started but uncompleted during June)? (3 points) (2) What are the total equivalent units for direct materials if materials are added at the beginning of the process? (3 points) (3) What are the total equivalent units for conversion costs? (3 points) (4) Determine the direct materials and conversion costs per equivalent unit. (2 points) Formula: Direct Materials Cost per Equivalent Unit = Total Direct Materials Cost for the Period/Total Equivalent units of Direct Materials Conversion Cost per Equivalent Unit -Total Conversion Cost for the Period/Total Equivalent units of Conversion Cost 5) Determine the product cost assigned to Group 1, Group 2, and Group 3. (5 points) 17. The following production data were taken from the records of the Finishing Department for June: Beginning work in process, 4,000 units, 60% completed 58,000 units started this period Direct materials added Direct labor incurred Factory overhead incurred $ 20,200 348,000 169,500 3,000 During June, the units in process at June 1 were completed, and of the 58,000 units entering the department, all were completed except 3,000 units which were 30% completed. Inventories are costed by the first-in, first-out method. The first-in, first-out method is used to cost inventories. (1) How many units in Group 1 (work in process on June 1). Group 2 (started and completed during June), and Group 3 (started but uncompleted during June)? (3 points) (2) What are the total equivalent units for direct materials if materials are added at the beginning of the process? (3 points) (3) What are the total equivalent units for conversion costs? (3 points) (4) Determine the direct materials and conversion costs per equivalent unit. (2 points) Formula: Direct Materials Cost per Equivalent Unit = Total Direct Materials Cost for the Period/Total Equivalent units of Direct Materials Conversion Cost per Equivalent Unit -Total Conversion Cost for the Period/Total Equivalent units of Conversion Cost 5) Determine the product cost assigned to Group 1, Group 2, and Group 3. (5 points)

Answer rating: 100% (QA)

SOLUTION 1 Calculation of Units in Group 1 Group 2 and Group 3 Group 1 4000 units 60 completed 2400 ... View the full answer