D, Inc., uses three departments to produce a detergent. The Finishing Department is the third...
70.2K
Verified Solution
Link Copied!
Question
Accounting
D, Inc., uses three departments to produce a detergent. The Finishing Department is the third and last step before the product is transferred to storage. All materials needed to give the detergent its final composition are added at the beginning of the process in the Finishing Department. The following data for the Finishing Department for October have been made available:
Production data:
In process, October 1 (labor and factory overhead, 75% completed)
10,000 litres
Finished and transferred to storage
35,500 litres
In process, October 31 (direct materials, 80% completed; labor and factory overhead, 50% complete)
16,500 litres
Additional data:
Work-in-process inventory, October 1:
Cost from this department:
$
Materials
22,500
Labor
38,000
Factory overhead
43,500
Total costs
$104,000
Cost added in this department:
Materials
$71,000
Labor
153,000
Factory overhead
131,500
Total costs added
$355,500
Required:
Calculate the cost of the units transferred out to finished goods inventory and the value of the ending WIP under the weighted average method.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
