Assignment: Costing Methods
Scenario
Concrete Creations manufactures concrete bird baths that...
Business, 01.07.2020 15:01 TGJuuzouSuzuya
Assignment: Costing Methods
Scenario
Concrete Creations manufactures concrete bird baths that are sold through retail outlets nationwide. The bird baths are made in a two-stage process. In the Forming Department, the concrete is poured into silicone molds where it is allowed to cure and set. Once set, the birdbaths are removed from the mold and sent to the Finishing Department where any imperfections are removed and the birdbaths are sprayed with a special sealant.
Information for the Forming Department for the month of May is provided below.
Percent Complete
Units Materials Conversion
Work in Process, Beginning 10,000 100% 60%
Started into Production 90,000
Completed and Transferrred Out 80,000
Work in Process, Ending 20,000 100% 40%
Materials Conversion
Work in Process, beginning $ 12,600 $ 12,400
Cost added during period $ 167,400 $ 119,350
Questions
1. Assume that Concrete Creations uses the weighted-average method for cost allocation.
Determine the equivalent units of production for the Forming Department for the month of May.
2. Assume that Concrete Creations uses the weighted-average method for cost allocation. Compute the cost per equivalent units of production for the Forming Department
3. Assume that Concrete Creations uses the weighted-average method for cost allocation.
Calculate the total cost of ending work in process inventory as well as total cost of units transferred out for May.
4. Assume that Concrete Creations uses the weighted-average method for cost allocation. Prepare a cost reconciliation report for the Forming Department for May.
5. Assume that Concrete Creations used the FIFO method rather than the weighted average method in its process costing system. Determine the equivalent units of production for the Forming Department for the month of May.
6. Assume that Concrete Creations used the FIFO method rather than the weighted average method in its process costing system. Compute the cost per equivalent units of production for the Forming Department.
7. Assume that Concrete Creations used the FIFO method rather than the weighted average method in its process costing system. Calculate the total cost of ending work in process inventory as well as total cost of units transferred out for May.
8. Assume that Concrete Creations used the FIFO method rather than the weighted average method in its process costing system. Prepare a cost reconciliation report for the Forming Department for May.
Compare the two cost reconciliation reports (weighted average and FIFO). Identify and comment on any significant differences between the two reports. If you were a manager at Concrete Creations, which approach would you recommend and why? Be sure to identify the advantages and disadvantages to both approaches when making your analysis.
Answers: 1
Other questions on the subject: Business
Business, 21.06.2019 20:30, valentinethevast
The hawthorne works was a large western electric factory with 45,000 employees. during the 1920s and 1930s, hawthorne works was the site of some well-known industrial studies. in one of the studies, researchers investigated the impact of different working conditions on worker productivity. prior to the start of the study, researchers secretly measured workers' productivity for several weeks. then researchers chose two workers, who then chose their own teams. the teams were separated from the general workforce and completed their work in different experiment rooms where the researchers could observe them more easily. over a 5-year period researchers manipulated the structure of the workday for each team (number and duration of breaks and number of hours per shift). for each of these changes in working conditions, the researchers measured the effect on productivity. for some conditions, such as frequent short breaks, workers rebelled by intentionally decreasing productivity. why did the researchers secretly measure the workers' productivity before creating the two treatment groups? a, to create similar treatment groups so that a cause-and-effect relationship could be establishedb, to draw conclusions about the productivity of all workers in the plant based on the test groupsc, to directly control for confounding variablesd, to provide a baseline for measuring worker productivity
Answers: 3
Business, 22.06.2019 04:40, aidanfbussiness
Select the correct answerwhat is the responsibility of each of the twelve federal reserve's banks in their districts? a. they set the prime rateob. they monitor functioning of banks in their through onsite and offsite reviewsc. they assess taxes in their destnictd. they write fiscal policies
Answers: 1
Business, 22.06.2019 07:30, kennaklein2
When selecting a savings account, you should look at the following factors except annual percentage yield (apy) fees minimum balance interest thresholds taxes paid on the interest variable interest rates
Answers: 1
You know the right answer?
Questions in other subjects:
Biology, 16.07.2019 10:00
Mathematics, 16.07.2019 10:00
History, 16.07.2019 10:00
Social Studies, 16.07.2019 10:00
