Question: Question 2 (Group work) WC Ltd makes one product in a single process. The details of the process for period 2 were as follows: There

Question 2 (Group work) WC Ltd makes one product in a single process. The details of the process for period 2 were as follows: There were 800 units of opening work in progress valued as follows: Material Shs. 98.000 Labour Shs. 46,000 Production overhead Shs. 1600 During the period 1,800 units were added to the process and the following costs were incurred: Material Shs. 383.800. Labour Shs. 36.320 Production overheads Shs. 149280 There were 500 units of closing work in progressr which were 100 percent complete for material. 90 percent complete for labour and 40 percent complete for production overheads. A normal loss equal to 'IO percent of new material input during the period was expected. The actual loss amounted to 180 units. Each unit of loss was sold for Shs. 10 per unit. Losses are detected prior to WIP stage of completion. WC Ltd uses weighted average costing. Required: a) Statement of equivalent units b) Calculate the cost of output for the period. c) Process Account d) Normal loss! Scrap sales Account e) Prepare workings to show valuation of closing WIP

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Question 2 (Group work) WC Ltd makes one product in a single process. The details of the process for period 2 were as follows: There were 800 units of opening work in progress valued as follows:...

Question 9 (Group work) WC Ltd makes one product in a single process. The details of the process for period 2 were as follows: There were 800 units of opening work in progress valued as follows:...

WC Ltd makes one product in a single process. The details of the process for period 2 were as follows: There were 800 units of opening work in progress valued as follows: Material Shs. 98,000 Labour...

need help solving this management accounting question if someone could explain using a the process T account and how to calculate the cost of the output (6.23 Weighted average method with losses CW...

Weighted average method with losses CW Ltd makes one product in a single process. The details of the process for period 2 were as follows: a There were 800 units of opening work in progress valued as...

Aion 5 (30 marks; 54 minutes) N Ltd makes one product in a single process. The details of the process for period 2 were as follows: There were 800 units in beginning work-in-process which were 100%...

CW Ltd makes one product in a single process. The details of the process for period two were as follows. There were 800 units of opening working progress valued as follows. Material Rs. 77000, labour...

A company operates a process costing system using the first in, first out (FIFO) system of valuation. No losses occur in the process. The following data relate to last month:...

Intermediate. CW Ltd makes one product in a single process. The details of the process for period 2 were as follows: There were 800 units of opening work in progress valued as follows: There were 500...

Using the constant growth dividend valuation model, calculate the intrinsic value of a stock that pays a dividend this year of $2.00 and is expected to grow at 6%. The beta for this stock is 1.5, the...

Compute the energy necessary to bring together (from a very large distance) the charges in the configuration shown in Fig. 16.25. 0.10 m 0.10 m 0.10 m 0.10 m 43 5.0

What was the significance of the passing of the Voting Rights Act of 1 5 6 5 in America? Multyple Onoice

Jack has contacted you to discuss counselling for his 16-year-old daughter, Danni. Jack and his wife, Crystal, divorced when Danni was 6 years old, and Danni lived with her mother, with regular...