Question
Anika Manufacturing makes toys and uses the average process costing system. On May 1, 2017, the company had 400 units in process that were 70%
Anika Manufacturing makes toys and uses the average process costing system. On May 1, 2017, the company had 400 units in process that were 70% complete as to materials and 85% complete as to conversion. During the month, 3,800 additional units were started. On May 31, 300 units were still in process (40% complete as to materials and 60% complete as to conversion). Cost information for May 2017 is as follows:
Beginning WIP Inventory
Direct materials P 4,349
Conversion 4,658
Current period costs
Direct materials 60,775
Conversion 46,750
- Calculate the EUP for each cost component using the average method.
- Calculate cost per EUP for each cost component using the average method.
- Calculate the EUP for each cost component using the FIFO method.
- Calculate cost per EUP for each cost component using the FIFO method.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Lets calculate the equivalent units of production EUP and the cost per equivalent unit for each cost component direct materials and conversion using b...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Document Format ( 2 attachments)
6642357e5efbc_984416.pdf
180 KBs PDF File
6642357e5efbc_984416.docx
120 KBs Word File
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started