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Assignment Cost Acctg 3-1-19

Cost accounting gloria rante

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1K views26 pages

Assignment Cost Acctg 3-1-19

Cost accounting gloria rante

Uploaded by

asiegrainenicole
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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2 Chapter 7 - Process Costing System : R EXERCISES: Ex. 7-1, Cost of Production Report. WA The following information is available for Department A of Siena Manufacturing Company for the month of July: Work in process, 7/1, 30% complete 5,000 units Costs; Materials , P12,009 Direct labor ™ 6,000 Manufacturing overhead 8,000 Started in production during July . 20,000 units ‘Costs added: . Materials 36,000 Direct labor : -16,000 Manufacturing overhead 20,200 Work in process, 7/31, 20% complete 2,000 units Materials are added at the beginning of the process anid Siena Company uses the weighted average methad to account for cost. ey REQUIRED: Prepare.a cost Of production.report'and give all entries required to record the above information. : EX 7-2. Cost:of Production. Report with lost units using FIFO Palmolive Asia manufactures gel in three departments and accounts costs using the FIFO method. ‘The Finishing Department is the last step before the product is transferred to storage vats for bottling: In this department, all materials are added at the beginning of the process.and any lost tinits which are inherent in produiction Process ate discovered at this point. The following data are available for the Finishing Department for the month of September of the current year, . ' In process, Sept. 1 - 10,000 units (75% complete) Costs from Preceding Dept. ‘76,000 Costs this Department: - Materials 43,000 Labor ' 78,000 Overhead 84,000 chapter 7_- Process Costing System a Received from preceding dept. - 40,000 units Costs added this period: Materials 140,000 Labor 324,000 Overhead 260,000 4 Costs from preceding dept, 280,000 Finished and transferred to storage = 35,000 units , Inprocesé, Sept. 30, ¥2 complete - 10,000 units ¥ REQUIRED: Prepre 4 cost of production cd to record hon ofp report and give all entries requires Ex7-3, Process Costing using Standard Cost: Journal Entries The following information was gathered from the cost records of Mantrade Manufacturing Company: Materials: . 74 : Purchases, 50,000 pounds at P20 per pound : Issued 42,000 pounds to the production department. All s materials are added at the start of the process. we ~ Labor: Actual labor hours worked, 2,600 hours at P35 FOH: ‘Actual factory overhead was P85,000 ‘Work in process, beginning: 500 units: 100% complete as: to materials, 1/3 converted a ookin proces ending 0 nit 100% a4 mater ae Y% converted; no spoilage Finished goods, 500 units in the beginning and 300 units in ending inventory ‘The company established the following standard cost per unit Materials : 10 pounds at P18 per pound ~ Labor : Yehour at P30 per hour Overhead: P20 per DL hour Four thousand units were started during the period. 500 wits J wo C16 / ye 00D yb uM fy (00 Wee sr 7 - Process Costing System 284 Required: Prepare cost of production report and Give all the entries to recora data including variances. Record material price variance at the time mae és purchased, Ex 7-4, Cost of Production Report using FIFO ” FRC Corporation operates two depertments in its operations, namely Process and Process 2, Below are information gathered from the production depart during the six months ended June 30, 2016: . Units Process1"Process2 Work in process, Jan 1 12,000 10,000 Started in process 88,000 - Transferred out 80,000 74,000 Costs: = ~ P10,400. -. 21,370 Work in process, Jan. 1 ws |” Added this period: =e y+ Materials’ 6-2, «Labor : os, 28400 o<.2' 84,940 Overhead » 5,200- 36,900 The work in process on Jan. 1 is'2/3 complete in Process 1.and 3/5 complete in Process 2 while the work in: process ont: June 30 is 3/5 complete in Process 1 and 7/8 complete in Process 2. Materials are applied 100% at the start of the process in Process'I while in’Process 2, 30% are‘applied at the start:of the process, 40% when the process’ is one half-completed and 30% at:the end of the process, Conversion costs are applied evenly in all the departments, é REQUIRED: ~ ; ein 1. Determine the EUP for materials and conversion cost in Process 1.& Process 2. 2, Allocate the total costs to account to completed and transferred and to work in processend.: , ~ Ex 7-5. ‘Two types of materiale, uneven application ‘The cést accountant of Sonnex Company provides you with the following data fromthéir 2-4 Production Department. - Opening inventory, 3/8 completed 12,000 Received from preceding dept. ; 30,000 27,000 Transferred to next dept.

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