Question

Overboard Corporation uses the FIFO method in its process costing system. In the Cutting Department in...

Overboard Corporation uses the FIFO method in its process costing system. In the Cutting Department in June, units were 80% complete with respect to conversion in the beginning work in process inventory and 25% complete with respect to conversion in the ending work in process inventory. Other data for the department for June follow:

Units Conversion Cost
Beginning work in process inventory 23,900 $ 42,000
Units started into production, and costs incurred during the month 163,000 $ 243,000
Units completed and transferred out 143,000

The cost per equivalent unit for conversion cost is closest to:

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1
Cost per equivalent unit of conversion cost is $ 1.80 per equivalent unit
UNITS TO ACCOUNT FOR:
Beginning Work in Process units 23,900
Add: Units Started in Process 163,000
Total Units to account for: 186,900
UNITS TO BE ACCOUNTED FOR:
Units completed from begin. Inv 23900
Units started and completed 119,100
Ending Work in Process 43,900
Total Units to be accounted for: 186,900
Equivalent Units:
Conversion
% Completion Units
Units completed from Beg WIP 20% 4780
Units started and completed 100% 119,100
Ending Work in Process 25% 10,975
Total Equivalent units 134,855
COST PER EQUIVALENT UNIT:
Conversion
Total cost added during the month 243,000
Equivalent Units 134,855
Cost per Equivalent unit 1.8
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Ibarra Corporation uses the FIFO method in its process costing system. The first processing department, the...
Ibarra Corporation uses the FIFO method in its process costing system. The first processing department, the Forming Department, started the month with 16,500 units in its beginning work in process inventory that were 20% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $24,250. An additional 102,000 units were started into production during the month and 105,000 units were completed and transferred to the next processing department. There were 13,500 units in...
Ibarra Corporation uses the FIFO method in its process costing system. The first processing department, the...
Ibarra Corporation uses the FIFO method in its process costing system. The first processing department, the Forming Department, started the month with 16,500 units in its beginning work in process inventory that were 20% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $24,250. An additional 102,000 units were started into production during the month and 105,000 units were completed and transferred to the next processing department. There were 13,500 units in...
Eban Corporation uses the FIFO method in its process costing system. The first processing department, the...
Eban Corporation uses the FIFO method in its process costing system. The first processing department, the Welding Department, started the month with 19,200 units in its beginning work in process inventory that were 50% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $56,200. An additional 59,000 units were started into production during the month. There were 16,800 units in the ending work in process inventory of the Welding Department that were...
Hache Corporation uses the weighted-average method in its process costing system. The first processing department, the...
Hache Corporation uses the weighted-average method in its process costing system. The first processing department, the Welding Department, started the month with 17,050 units in its beginning work in process inventory that were 20% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $7,520. An additional 89,100 units were started into production during the month and 92,100 units were completed in the Welding Department and transferred to the next processing department. There...
Gaba Corporation uses the FIFO method in its process costing system. The Grinding Department started the...
Gaba Corporation uses the FIFO method in its process costing system. The Grinding Department started the month with 17,100 units in its beginning work in process inventory that were 60% complete with respect to conversion costs. An additional 61,000 units were transferred in from the prior department during the month to begin processing in the Grinding Department. During the month 71,000 units were completed in the Grinding Department and transferred to the next processing department. There were 7,100 units in...
Hache Corporation uses the weighted-average method in its process costing system. The first processing department, the...
Hache Corporation uses the weighted-average method in its process costing system. The first processing department, the Welding Department, started the month with 17,800 units in its beginning work in process inventory that were 20% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $8,120. An additional 90,600 units were started into production during the month and 93,600 units were completed in the Welding Department and transferred to the next processing department. There...
Jones Company uses the FIFO method in its process costing system. The beginning work in process...
Jones Company uses the FIFO method in its process costing system. The beginning work in process inventory in a particular department consisted of 6,000 units, two-thirds complete with respect to conversion costs. During the month, 42,000 units were started and 40,000 units were completed and transferred out of the department. The company had 40,000 equivalent units for conversion costs. 1. Find the number of units in ending inventory in the department. 2. Find the percent completion of the units calculated...
Carver Corporation uses the FIFO method in its process costing system. The Assembly Department started the...
Carver Corporation uses the FIFO method in its process costing system. The Assembly Department started the month with 2700 units in its beginning work in process inventory that were 60% complete with respect to conversion costs. An additional 73,000 units were transferred in from the prior department during the month to begin processing in the Assembly Department. There were 9700 units in the ending work in process inventory of the Assembly Department that were 50% complete with respect to conversion...
Carver Corporation uses the FIFO method in its process costing system. The Assembly Department started the...
Carver Corporation uses the FIFO method in its process costing system. The Assembly Department started the month with 3,000 units in its beginning work in process inventory that were 60% complete with respect to conversion costs. An additional 76,000 units were transferred in from the prior department during the month to begin processing in the Assembly Department. There were 10,000 units in the ending work in process inventory of the Assembly Department that were 50% complete with respect to conversion...
Tori Company uses the FIFO method in its process costing system. The first processing department, the...
Tori Company uses the FIFO method in its process costing system. The first processing department, the Soldering Department, started the month with 29,000 units in its beginning work-in-process inventory that were 80% complete with respect to conversion costs. The conversion cost in this beginning work-in-process inventory was $113,150. An additional 81,200 units were started into production during the month. There were 35,000 units in the ending work-in-process inventory of the Soldering Department that were 90% complete with respect to conversion...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT