4-272
4-273
115.
Gupta Inc. uses the weighted-average method in its process costing. The following data
concern the company’s Mixing Department for the month of December.
Materials
Work in
process,
December
1
$4,734
Cost
added to
production
in the
Mixing
Department
during
December
$227,190
Equivalent
units of
production
for
December
8,785
Required:
Compute the cost per equivalent unit for materials and conversion for the Mixing
Department in December.
4-274
4-275
116.
Lafollette Inc. uses the weighted-average method in its process costing. The following
data concern the company’s Assembly Department for the month of November.
Materials
Work in
process,
November
1
$8,448
Cost
added to
production
in the
Assembly
Department
during
November
$143,792
Equivalent
units of
production
for
November
8,800
Required:
Compute the costs per equivalent unit for the Assembly Department for November.
4-276
4-277
117.
Oleksy Corporation uses the weighted-average method in its process costing. The
following data concern the company’s Assembly Department for the month of June.
Materials
Conversion
Cost per equivalent unit
$26.90
$47.30
Equivalent units in ending work in process
700
560
Materials
unit (b)
During the month, 4,900 units were completed and transferred from the Assembly
Department to the next department.
Required:
Determine the cost of ending work in process inventory and the cost of units transferred
out of the department during June using the weighted-average method.
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4-279
118.
Sydnor Inc. has provided the following data concerning the Assembly Department for the
month of April. The company uses the weighted-average method in its process costing.
Materials
Conversion
Cost per equivalent unit
$23.00
$31.30
Equivalent units in ending work in process
700
210
During the month, 7,000 units were completed and transferred from the Assembly
Department to the next department.
Required:
Determine the cost of ending work in process inventory and the cost of units transferred
out of the department during April using the weighted-average method.
Weighted-average method:
Materials
Total
Ending work in process inventory:
Equivalent units of production (a)
700
Cost per equivalent unit (b)
$23.00
Cost of ending work in process inventory (a) × (b)
$16,100
$22,673
Materials
Total
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4-281
119.
In December, one of the processing departments at Weisz Corporation had beginning work
in process inventory of $20,000 and ending work in process inventory of $14,000. During
the month, the cost of units transferred out from the department was $244,000.
Required:
Construct a cost reconciliation report for the department for the month of December.
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120.
In September, one of the processing departments at Farquer Corporation had beginning
work in process inventory of $34,000. During the month, $342,000 of costs were added to
production and the cost of units transferred out from the department was $357,000.
Required:
Construct a cost reconciliation report for the department for the month of September.
4-283
121.
In July, one of the processing departments at Gulbranson Corporation had beginning work
in process inventory of $14,000 and ending work in process inventory of $18,000. During
the month, $165,000 of costs were added to production and the cost of units transferred
out from the department was $161,000.
Required:
Construct a cost reconciliation report for the department for the month of July.
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122.
A number of companies in different industries are listed below:
1. Synthetic rubber manufacturer
2. Contract printer that produces posters, books, and pamphlets to order
3. Dress manufacturer that makes clothing on contract for department stores
4. Aluminum refiner that makes aluminum ingots from bauxite ore
5. Asparagus cannery
6. Winery that produces a number of varietal wines
Required:
For each company, indicate whether the company is most likely to use job-order costing
or process costing.
4-285
123.
Whether a company uses process costing or job-order costing depends on its industry. A
number of companies in different industries are listed below:
1. Contract printer that produces posters, books, and pamphlets to order
2. Asparagus cannery
3. Brick manufacturer
4. Contract oil drilling company
5. Custom boat builder
6. Flour mill
Required:
For each company, indicate whether the company is most likely to use job-order costing
or process costing.
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124.
Some companies use process costing and some use job-order costing. Which method a
company uses depends on its industry. A number of companies in different industries are
listed below:
1. Contract printer that produces posters, books, and pamphlets to order
2. Corn meal mill
3. Cattle feedlot that fattens cattle prior to slaughter
4. Shirt manufacturer that makes clothing on contract for department stores
5. Commercial photographer
Required:
For each company, indicate whether the company is most likely to use job-order costing
or process costing.