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46. Talamoto Co. manufactures a single product that goes through two processes — mixing
and cooking. The following data pertains to the Mixing Department for September.
Work-in-process Inventory Sept. 1 28,000 units
Conversion complete 70%
Work-in-process inventory Sept. 30 16,000 units
Conversion complete 50%
Units started into production in Sept. 72,000
Units completed and transferred out ? units
Costs
Work-in-process inventory Sept.1 $120,000
Material P 110,000
Material Q 165,000
Conversion
Costs added in September
Material P $180,000
Material Q 165,000
Conversion 354,800
Material P is added at the beginning of work in the Mixing Department. Material Q is also added
in the Mixing Department, but not until units of product are forty percent completed with regard
to conversion. Conversion costs are incurred uniformly during the process.
Cost per equivalent unit for Material P under the weighted-average method is calculated to be:
47. Talamoto Co. manufactures a single product that goes through two processes — mixing
and cooking. The following data pertains to the Mixing Department for September.
Work-in-process Inventory Sept. 1 28,000 units
Conversion complete 70%
Work-in-process inventory Sept. 30 16,000 units
Conversion complete 50%
Units started into production in Sept. 72,000
Units completed and transferred out ? units
Costs
Work-in-process inventory Sept.1 $120,000
Material P 110,000
Material Q 165,000
Conversion
Costs added in September
Material P $180,000
Material Q 165,000
Conversion 354,800
Material P is added at the beginning of work in the Mixing Department. Material Q is also added
in the Mixing Department, but not until units of product are forty percent completed with regard
to conversion. Conversion costs are incurred uniformly during the process.
Cost per equivalent unit for Material Q under the weighted-average method is calculated to be:
48. Talamoto Co. manufactures a single product that goes through two processes — mixing
and cooking. The following data pertains to the Mixing Department for September.
Work-in-process Inventory Sept. 1 28,000 units
Conversion complete 70%
Work-in-process inventory Sept. 30 16,000 units
Conversion complete 50%
Units started into production in Sept. 72,000
Units completed and transferred out ? units
Costs
Work-in-process inventory Sept.1 $120,000
Material P 110,000
Material Q 165,000
Conversion
Costs added in September
Material P $180,000
Material Q 165,000
Conversion 354,800
Material P is added at the beginning of work in the Mixing Department. Material Q is also added
in the Mixing Department, but not until units of product are forty percent completed with regard
to conversion. Conversion costs are incurred uniformly during the process.
Cost per equivalent unit for conversion under the weighted-average method is calculated to be:
49. Talamoto Co. manufactures a single product that goes through two processes — mixing
and cooking. The following data pertains to the Mixing Department for September.
Work-in-process Inventory Sept. 1 28,000 units
Conversion complete 70%
Work-in-process inventory Sept. 30 16,000 units
Conversion complete 50%
Units started into production in Sept. 72,000
Units completed and transferred out ? units
Costs
Work-in-process inventory Sept.1 $120,000
Material P 110,000
Material Q 165,000
Conversion
Costs added in September
Material P $180,000
Material Q 165,000
Conversion 354,800
Material P is added at the beginning of work in the Mixing Department. Material Q is also added
in the Mixing Department, but not until units of product are forty percent completed with regard
to conversion. Conversion costs are incurred uniformly during the process.
The cost of goods completed and transferred out under the weighted-average method is
calculated to be:
50. Stoltenberg Co. had the following information for the month of June:
Work in process beginning inventory, June 1 2,000 units
Units transferred in 16,000 units
Work in process ending inventory, June 30 4,000 units
Beginning work-in-process inventory is 30 percent complete as to conversion. Ending work-in-
process inventory is 50 percent complete as to conversion. Materials are added at the end of the
process.
How many units were completed in June?
51. Stoltenberg Co. had the following information for the month of June:
Work in process beginning inventory, June 1 2,000 units
Units transferred in 16,000 units
Work in process ending inventory, June 30 4,000 units
Beginning work-in-process inventory is 30 percent complete as to conversion. Ending work-in-
process inventory is 50 percent complete as to conversion. Materials are added at the end of the
process.
How many units were started and completed in June?
52. Stoltenberg Co. had the following information for the month of June:
Work in process beginning inventory, June 1 2,000 units
Units transferred in 16,000 units
Work in process ending inventory, June 30 4,000 units
Beginning work-in-process inventory is 30 percent complete as to conversion. Ending work-in-
process inventory is 50 percent complete as to conversion. Materials are added at the end of the
process.
The equivalent units for materials under the weighted-average method are calculated to be:
53. Stoltenberg Co. had the following information for the month of June:
Work in process beginning inventory, June 1 2,000 units
Units transferred in 16,000 units
Work in process ending inventory, June 30 4,000 units
Beginning work-in-process inventory is 30 percent complete as to conversion. Ending work-in-
process inventory is 50 percent complete as to conversion. Materials are added at the end of the
process.
The equivalent units for conversion under the weighted average method are calculated to be:
54. Stoltenberg Co. had the following information for the month of June:
Work in process beginning inventory, June 1 2,000 units
Units transferred in 16,000 units
Work in process ending inventory, June 30 4,000 units
Beginning work-in-process inventory is 30 percent complete as to conversion. Ending work-in-
process inventory is 50 percent complete as to conversion. Materials are added at the end of the
process.
The equivalent units for transferred-in costs under the FIFO method are calculated to be:
55. DeFond Company has a process costing system. All materials are introduced at the
beginning of the process in Department One. The following information is available for the month
of January:
Units
Work in process, July 1 (40% complete for conversion) 400
Started 2,000
Completed and transferred to Department 2 1,900
Work in process, July 31 (60% complete for conversion) 500
What are the equivalent units for the month of July if the company uses the FIFO method?
Materials Conversion
A) 2,400 2,000
B) 2,400 2,040
C) 2,400 2,200
D) 2,000 2,040
E) 2,000 2,200
56. DeFond Company has a process costing system. All materials are introduced at the
beginning of the process in Department One. The following information is available for the month
of January:
Units
Work in process, July 1 (40% complete for conversion) 400
Started 2,000
Completed and transferred to Department 2 1,900
Work in process, July 31 (60% complete for conversion) 500
What are the equivalent units for the month of July if the company uses the weighted-average
method?
Materials Conversion
A) 2,400 2,000
B) 2,400 2,040
C) 2,400 2,200
D) 2,000 2,040
E) 2,000 2,200
57. On March 1, Portland Company had 20,000 units of work in process in Department A,
which were 100% complete as to material costs and 40% complete as to conversion costs. During
March, 150,000 units were started in Department A and 160,000 units were completed and
transferred to Department B. Work in process on March 31 was 100% complete as to material
costs and 50% complete as to conversion costs. By what amount would the equivalent units for
conversion costs for the month of March differ if the FIFO method were used instead of the
weighted-average method?
58. Larsen Company adds materials at the beginning of the process in Department 2. Data
concerning the materials used in May production are as follows:
Units
Work-in-process at May 1 12,000
Started during May 32,000
Completed and transferred out during May 33,000
Normal spoilage incurred 3,000
Work-in-process at May 31 8,000
Using the weighted-average method, the equivalent units for materials are:
59. Which of the following companies (industries) would not use a process cost system?
60. Conversion costs in a process cost system include:
61. Place the following Process costing steps in the correct order:
1 - Calculate equivalent units
2 - Determine the total costs to account for
3 - Analyze flow of physical units
4 - Assign total manufacturing costs
5 - Compute unit costs
62. Which method is (are) used to prepare the departmental production cost report when
using a process cost system?
63. The number of the same or similar units that could have been produced given the amount
of work actually performed on both complete and partially complete units is referred to as:
64. Which equation correctly calculates the total weighted average equivalent units of
production?
65. Giddings Pharmaceutical Company is a maker of drugs for high blood pressure and uses
a process costing system. The following information pertains to the final department of
Giddings's blockbuster drug called Solcax.
Beginning work-in-process (40% completed) 800 units
Transferred-in 4,000 units
Normal spoilage 400 units
Abnormal spoilage 200 units
Good units transferred out 3,600 units
Ending work-in-process (1/3 completed) 600 units
Conversion costs in beginning inventory $2,560
Current conversion costs $6,900
Giddings calculates separate costs of spoilage by computing both normal and abnormal spoiled
units. Normal spoilage costs are reallocated to good units and abnormal spoilage costs are
charged as a loss. The units of Solcax that are spoiled are the result of defects not discovered
before inspection of finished units. Materials are added at the beginning of the process. Using
the weighted-average method, answer the following question:
What are the equivalent units for conversion costs?
