B D E F G H Problem A The following data refer to a production center of Sipp-Fizz, a soft drink bottler: 57 points Work in process inventory, August 1, 4,000 units (units equal 12-bottle cases): Direct materials $12,000 Direct labor 6,120 Manufacturing overhead 8,000 applied $26,120 Units started in August 12,000 Costs incurred in August: Direct materials Direct labor Manufacturing overhead applied $36,000 48,000 60,000 The beginning inventory was 100% complete for materials and 50% complete for conversion costs. The ending inventory on August 31 consisted of 6,000 units (100% complete for materials, 70% complete for conversion costs). Problem A Fill in All Yellow Spaces!! Sipp-Fizz Process Cost Summary For Month Ended August 31 Sipp-Fizz Process Cost Summary For Month Ended August 31 12,000 (given) 6,120 (given) 8,000 $ 26,120 (given) Costs Charged to Production Costs of beginning goods in process Direct Materials Direct Labor Factory Overhead Costs incurred this period Direct Materials Direct Labor Factory Overhead Total costs to account for 36,000 48,000 60,000 144,000 Shaded is formula added for you 170,120 Shaded is formula added for you (total units 10,000 6.000 16,000 OH Part 1) Compute Number of units completed and transferred out: REMEMBER: Beginning Work in Process Units + Units Started = Units Transferred Out + Ending Work in Process Units Unit Cost Information Units to account for: Units accounted for Beginning goods in process 4,000 Completed and transferred out Units started this period 12,000 Ending goods in process Total units to account for 16,000 Total units accounted for Remember these have to equal. Part 2: Compute Equivalent Units of Production. Equivalent Units of Production (EUP) DM DL Units completed and transferred out 100% 10,000 10,000 Units of ending goods in process Units % Complete Direct materials 6,000 100% 6.000 Direct labor 6,000 70% 4,200 Factory Overhead 6,000 70% Equivalent units of production 16,000 14,200 Part 3: Compute Cost per Equivalent Units of Production. Cost per Equiv Unit of Production DM DL Costs of beginning goods in process 6,120 $ Costs incurred this period 48,000 Totalrnete 10.000 (see calculation in parta) 4,200 14,200 OH 8,000 60,000 SAR O Charlema $54 12 $ DL 6,120 $ 48,000 $54,120 OH 8,000 60,000 $68,000 Shaded is formula added for you _from total equivalent units calculated above (round to the closescent (2 decimal places)) Part 3: Compute Cost per Equivalent Units of Production. Cost per Equiv Unit of Production DM Costs of beginning goods in process Costs incurred this period Total costs $0 (divide by) Total Equivalent Units of Prod Cost per Equiv Unit of Production Part 4: Compute Cost of units completed and transferred out and ending inventory. Cost Assignment and Reconciliation EUP Cost per EUP Costs transferred out (cost of goods manufactured) Direct materials 10,000 Direct labor X Factory Overhead Costs of ending goods in process Direct materials Direct labor Factory Overhead $ Shaded is formula added for you Shaded is formula added for you Total costs accounted for $ Shaded is formula added for you Journal Entry: Enter journal entry to record moving goods from Work in Process to Finished Goods (also Cost of Goods Manufactured) Debit Credit Finished Goods Inventory Work in Process Inventory Formula Bar