Litres Costs Beginning work in process inventory...
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Accounting
Litres
Costs
Beginning work in process inventory
0
litres
Beginning work in process inventory
$0
Started production
14,300
litres
Costs added during November:
Completed and transferred out to
Chicken
21,740
Retort in November
13,600
litres
Cream
4,000
Ending work in process inventory
Green peppers and mushrooms
5,440
(60% of the way through the
Direct labour
11,200
mixing process)
700
litres
Manufacturing overhead
9,830
Total costs
$52,210
1.
Fill in the time line for the Mixing Department.
2.
Use the time line to help you summarize the flow of physical units and compute the equivalent units. (Hint: Each direct material added at a different point in the production process requires its own equivalent-unit computation.)
3.
Compute the cost per equivalent unit for each cost category.
4.
Compute the total costs of the units (litres):
a. Completed and transferred out to the Retort Department
b. In the Mixing Department's ending work in process inventory
Requirement 1. Fill in the time line for the Mixing Department.
Start
Complete
Complete
Requirement 2. Use the time line to help you summarize the flow of physical units and compute the equivalent units.
(Hint: Each direct material added at a different point in the production process requires its own equivalent-unit computation.) (For entries with a zero balance, make sure to enter "0" in the appropriate cell(s).)
Great Chicken
Mixing Department
Flow of Physical Units and Computation of Equivalent Units
Flow of
Equivalent Units
Physical
Chicken
Green Peppers
Conversion
Flow of Production
Units
and Cream
and Mushrooms
Costs
Units to account for:
Units accounted for:
Total equivalent units
Requirement 3. Compute the cost per equivalent unit for each cost category. (For entries with a zero balance, make sure to enter "0" in the appropriate cell(s). Round the cost per equivalent unit to the nearest cent.)
Great Chicken
Mixing Department
Cost per Equivalent Unit
Month Ended November 30
Chicken and
Green Peppers and
Conversion
Cost per Equivalent Unit:
Cream
Mushrooms
Costs
Cost per equivalent unit
Requirement 4. Calculate the total cost of the units
(a)completed and transferred out to the Retort Department and
(b)the units in the Mixing Department's ending work in process inventory. (Enter quantities first, then the cost per equivalent unit amounts in the same order as calculated in the preceding step. For entries with a zero balance, make sure to enter "0" in the appropriate cell(s). Round your answers to the nearest whole dollar.)
Great Chicken
Mixing Department
Cost Assignment
Month Ended November 30
Chicken and
Green Peppers
Cream
and Mushrooms
Conversion Costs
Total
a.
x (
+
+
)
b.
x
x
x
Total cost accounted for
Answer & Explanation
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