Timekeeper Inc. manufactures clocks on a highly automated assembly line. Its costing system uses two cost categories, direct materials, and conversion costs. Each product must pass through the Assembly Department and the Testing Department. Direct materials are added at the beginning of the production process. Conversion costs are allocated evenly throughout production. Timekeeper Inc. uses weighted−average costing.
Data for the Assembly Department for June 2017 are:
Work in process, beginning inventory 380 units
Direct materials (100% complete)
Conversion costs (60% complete)
Units started during June 950 units
Work in process, ending inventory: 150 units
Direct materials (100% complete)
Conversion costs (80% complete)
Costs for June 2017:
Work in process, beginning inventory:
Direct materials $91,000
Conversion costs $137,500
Direct materials cost added during June $604,000
Conversion costs added during June $401,000
What are the equivalent units for direct materials and conversion costs, respectively, for June? (Round final answers to the nearest unit.)
Timekeeper Inc. manufactures clocks on a highly automated assembly line. Its costing system uses two cost categories, direct materials, and conversion costs. Each product must pass through the Assembly Department and the Testing Department. Direct materials are added at the beginning of the production process. Conversion costs are allocated evenly throughout production. Timekeeper Inc. uses weighted−average costing.
Data for the Assembly Department for June 2017 are:
Work in process, beginning inventory 380 units
Direct materials (100% complete)
Conversion costs (60% complete)
Units started during June 950 units
Work in process, ending inventory: 150 units
Direct materials (100% complete)
Conversion costs (80% complete)
Costs for June 2017:
Work in process, beginning inventory:
Direct materials $91,000
Conversion costs $137,500
Direct materials cost added during June $604,000
Conversion costs added during June $401,000
What are the equivalent units for direct materials and conversion costs, respectively, for June? (Round final answers to the nearest unit.)
Related questions
1. Ex Company produces a single product. Material A is added atthe start of the production process and packaging material B isadded at the end of the process. Conversion costs are incurreduniformly throughout the process. Production data for 2007 was asfollows:
Beginning work-in-process inventory (60% complete in conversion) 1,000 units
Units started 17,000 units
Unitscompleted ?
Ending work-in-process inventory (50% complete in conversion) 2,000 units
Using a first-in, first-out (FIFO) process costing system, theequivalent units in 2007 are
Material A | Material B | Conversion | ||
a. | 18,000 | 16,000 | 16,800 | |
b. | 16,000 | 16,000 | 16,400 | |
c. | 16,000 | 16,000 | 16,000 | |
d. | 17,000 | 16,000 | 16,400 |
e. None of the above
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Answer the following 2 questions using the informationbelow:
The Townsend Tractor Company manufactures small garden tractorson a highly automated assembly line. Its costing system uses twocost categories, direct materials and conversion costs. Eachtractor must pass through the Assembly Department and the TestingDepartment. Direct materials are added at the beginning of theproduction process. Conversion costs are allocated evenlythroughout production. Townsend Tractor uses weighted-averagecosting.
Data for the Assembly Department for April 2008 are:
Work in process, beginning inventory: | 400 units |
===Direct materials (100% complete) | |
===Conversion costs (40% complete) | |
Units started during April | 1,200 units |
Work in process, ending inventory: | 250 units |
===Direct materials (100% complete) | |
===Conversion costs (80% complete |
Costs for April 2008:
Work in process, beginning inventory: | |
===Direct materials | $100,000 |
===Conversion costs | $300,000 |
Direct materials costs added during April | $700,000 |
Conversion costs added during April | $1,250,000 |
2. What amount of direct materials costs are assigned to theending Work-in-Process account for April?
3. What amount of direct materials cost are assigned to thetransferred out units for April?
SHOW YOUR CALCULATIONS
| The Carlberg Company has two manufacturing departments, assembly and painting. The assembly department started 10,000 units during November. The following production activity unit and cost information refers to the assembly departmentâs November production activities. |
| Assembly Department | Units | Percent of Direct Materials Added | Percent of Conversion Added | |||
| Beginning work in process | 2,000 | 60 | % | 40 | % | |
| Units transferred out | 9,000 | 100 | % | 100 | % | |
| Ending work in process | 3,000 | 80 | % | 30 | % | |
| Beginning work in process inventoryâAssembly dept | $ | 1,581 (includes $996 for direct materials and $585 for conversion) |
| Costs added during the month: | ||
| Direct materials | $ | 10,404 |
| Conversion | $ | 12,285 |
| Required: |
| Prepare the November 30 journal entry to record the transfer of units (and costs) from the assembly department to the painting department. Use the FIFO method. |
