APPENDIX B
PROCESS COST SYSTEMS
EXERCISES
E1
a. Work in ProcessBlending Department Increase
E2
Materials
Factory Overhead
Smelting Dept.
Work in Process
Smelting Dept.
XXX
XXX
XXX
XXX
Factory Overhead
Work in Process
XXX
XXX
XXX
Factory Overhead
Work in Process
XXX
XXX
XXX
XXX
XXX
XXX
E3
a. and b.
A
B
C
1
a. Units
b. Equivalent Units
of Production
2
Units to be accounted for:
3
Beginning Work in Process
3,500
4
5
Total
6
Units to be assigned costs:
7
Transferred to Packing Department
8
Inventory in process, ending (30% completed)
9
Total
*30% × 3,200
E4
a. Drawing Department
A
B
C
1
Units
Equivalent Units
of Production
2
Units to be accounted for:
3
Beginning Work in Process
3,000
4
5
Total
6
Units to be assigned costs:
7
Transferred to Winding Department in May
8
completed)
9
Total
*55% × 4,000
b. Winding Department
A
B
C
1
Units
Equivalent Units
of Production
2
Units to be accounted for:
3
Beginning Work in Process
2,000
4
5
Total
6
Units to be assigned costs:
7
Transferred to Finished Goods in May
8
9
Total
*25% × 2,800
E5
a. Units in process, July 1 ……………………………………… 20,000
b.
A
B
C
1
Units
Equivalent Units
of Production
2
Units to be accounted for:
3
Beginning Work in Process
20,000
4
Units started during the period
144,000
5
Total
6
Units to be assigned costs:
7
Transferred to Finished Goods in July
8
Inventory in process, July 31 (60% completed)
9
Total
*60% × 21,500
E–6
a. and b.
A B C
1
a. Units b. Equivalent Units
of Production
2 Units to be accounted for:
3 Beginning Work in Process 10,000