ACC 601 Managerial Accounting
Group Case 1
Group Members:
Part A:
Part B:
Part C: Chaxul Shah
Part D:
Part E:
Part-C
A: Determine the equivalent units of production
Transferred to next
department
Ending work in progress
Material: 1000 units * 80%
Conversion: 1000 units *
60%
Materials
22,200
Conversion
22,200
800
600
23,000
22,800
B: Determine the costs per equivalent unit
Work in progress, beginning
Cost added during the month
Total Cost (a)
Equivalent units (above) (b)
Cost per equivalent units =
a/b
Materials
8,400
97,400
105,800
23,000
4.60
Conversion
7200
129,600
136,800
22,800
6.00
C: Determine the cost of ending work in process inventory
Units transferred out
Cost per equivalent
unit
Cost transferred out
Materials
22,200
4.60
Conversion
22,200
6.00
Total
102,120
133,200
235,320
D: Determine the cost of the units transferred to the next department.
Equivalent units of
production ending
work in progress
Cost per equivalent
unit
Cost of ending work I
progress
Materials
800
Conversion
600
4.60
6.00
3,680
3,600
7,280
Part-D
Particulars
Material
Conversion
Equivalent units in ending work in process
inventory
330
264
Cost per equivalent unit
9.50
$20.40
$29.99
$3135.00
$5385.60
$8520.60
Cost of ending work in process inventory
Particluars
Cost of beginning WIP brought forward from last period (A)
Total
Amount
$1920
Cost to complete these units:
Direct materials (360*$9.5)
$3420
Conversion costs (140*$20.4)
$2856
Total cost from beginning inventory
$8196
Cost of units started and completed in current period (3130*$29.9)
Cost of units transferred out
$93587
$101783