Quizzer in Process Costing

Multiple Choice
Identify the choice that best completes the statement or answers the question.

____ 1. Duke Company transferred 5,500 units to Finished Goods Inventory during September. On September 1, the
company had 300 units on hand (40 percent complete as to both material and conversion costs). On June 30,
the company had 800 units (10 percent complete as to material and 20 percent complete as to conversion
costs). The number of units started and completed during September was:
a. 5,200.
b. 5,380.
c. 5,500.
d. 6,300.
____ 2. Dowell Company started 9,000 units in February. The company transferred out 7,000 finished units and ended
the period with 3,500 units that were 40 percent complete as to both material and conversion costs. Beginning
Work in Process Inventory units were
a. 500.
b. 600.
c. 1,500.
d. 2,000.
____ 3. Gore Company had beginning Work in Process Inventory of 5,000 units that were 40 percent complete as to
conversion costs. X started and completed 42,000 units this period and had ending Work in Process Inventory
of 12,000 units. How many units were started this period?
a. 42,000
b. 47,000
c. 54,000
d. 59,000
____ 4. Carter Company uses a weighted average process costing system. Material is added at the start of production.
Dixie Company started 13,000 units into production and had 4,500 units in process at the start of the period
that were 60 percent complete as to conversion costs. If Dixie transferred out 11,750 units, how many units
were in ending Work in Process Inventory?
a. 1,250
b. 3,000
c. 3,500
d. 5,750
____ 5. Tyler Company uses a weighted average process costing system and started 30,000 units this month. Tyler
had 12,000 units that were 20 percent complete as to conversion costs in beginning Work in Process
Inventory and 3,000 units that were 40 percent complete as to conversion costs in ending Work in Process
Inventory. What are equivalent units for conversion costs?
a. 37,800
b. 40,200
c. 40,800
d. 42,000
____ 6. Thomson Company makes small metal containers. The company began December with 250 containers in
process that were 30 percent complete as to material and 40 percent complete as to conversion costs. During
the month, 5,000 containers were started. At month end, 1,700 containers were still in process (45 percent
complete as to material and 80 percent complete as to conversion costs). Using the weighted average method,
what are the equivalent units for conversion costs?
a. 3,450
b. 4,560
c. 4,610
d. 4,910

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____ 7. Reiner Company uses a FIFO process costing system. The company had 5,000 units that were 60 percent
complete as to conversion costs at the beginning of the month. The company started 22,000 units this period
and had 7,000 units in ending Work in Process Inventory that were 35 percent complete as to conversion
costs. What are equivalent units for material, if material is added at the beginning of the process?
a. 18,000
b. 22,000
c. 25,000
d. 27,000
____ 8. Wentworth Company makes fabric-covered hatboxes. The company began September with 500 boxes in
process that were 100 percent complete as to cardboard, 80 percent complete as to cloth, and 60 percent
complete as to conversion costs. During the month, 3,300 boxes were started. On September 30, 350 boxes
were in process (100 percent complete as to cardboard, 70 percent complete as to cloth, and 55 percent
complete as to conversion costs). Using the FIFO method, what are equivalent units for cloth?
a. 3,295
b. 3,395
c. 3,450
d. 3,595

Perry Company

Perry Company. has the following information for November:

Beginning Work in Process Inventory

(70% complete as to conversion) 6,000 units
Started 24,000 units
Ending Work in Process Inventory
(10% complete as to conversion) 8,500 units

Beginning WIP Inventory Costs:

Material $23,400
Conversion 50,607

Current Period Costs:

Material $31,500
Conversion 76,956

All material is added at the start of the process and all finished products are transferred out.

____ 9. Refer to Perry Company. How many units were transferred out in November?
a. 15,500
b. 18,000
c. 21,500
d. 24,000
____ 10. Refer to Perry Company. Assume that weighted average process costing is used. What is the cost per
equivalent unit for material?
a. $0.55
b. $1.05
c. $1.31
d. $1.83
____ 11. Refer to Perry Company. Assume that FIFO process costing is used. What is the cost per equivalent unit for
conversion?
a. $3.44
b. $4.24
c. $5.71
d. $7.03

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 Christmas Company

The Christmas Company makes wreaths in two departments: Forming and Decorating. Forming began the
month with 500 wreaths in process that were 100 percent complete as to material and 40 percent complete as
to conversion. During the month, 6,500 wreaths were started. At month end, Forming had 2,100 wreaths that
were still in process that were 100 percent complete as to material and 50 percent complete as to conversion.
Assume Forming uses the weighted average method of process costing. Costs in the Forming Department are
as follows:

Beginning Work in Process Costs:

Material $1,000
Conversion 1,500
Current Costs:
Material $3,200
Conversion 5,045

The Decorating Department had 600 wreaths in process at the beginning of the month that were 80 percent
complete as to material and 90 percent complete as to conversion. The department had 300 units in ending
Work in Process that were 50 percent complete as to material and 75 percent complete as to conversion.
Decorating uses the FIFO method of process costing, and costs associated with Decorating are:

Beginning WIP Inventory:

Transferred In $1,170
Material 4,320
Conversion 6,210
Current Period:
Transferred In ?
Material $67,745
Conversion 95,820

____ 12. Refer to Christmas Company. How many units were transferred to Decorating during the month?
a. 600
b. 4,900
c. 5,950
d. 7,000
____ 13. Refer to Christmas Company. What was the cost transferred out of Forming during the month?
a. $5,341
b. $6,419
c. $8,245
d. $8,330
____ 14. Refer to Christmas Company. Assume 8,000 units were transferred to Decorating. Compute the number of
equivalent units as to costs in Decorating for the transferred-in cost component.
a. 7,400
b. 7,700
c. 8,000
d. 8,600
____ 15. Refer to Christmas Company. Assume 8,000 units were transferred to Decorating. Compute the number of
equivalent units in Decorating for material.
a. 7,970
b. 8,000
c. 8,330
d. 8,450
____ 16. Refer to Christmas Company. Assume 8,000 units were transferred to Decorating. Compute the number of
equivalent units in Decorating for conversion.
a. 7,925
b. 7,985
c. 8,360
d. 8,465

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____ 17. Refer to Christmas Company. Assume that 8,000 units were transferred to Decorating at a total cost of
$16,000. What is the material cost per equivalent unit in Decorating?
a. $8.50
b. $8.65
c. $8.80
d. $9.04
____ 18. Refer to Christmas Company. Assume that 8,000 units were transferred to Decorating at a total cost of
$16,000. What is the conversion cost per equivalent unit in Decorating?
a. $11.32
b. $11.46
c. $12.00
d. $12.78
____ 19. Refer to Christmas Company. Assume the material cost per EUP is $8.00 and the conversion cost per EUP is
$15 in Decorating. What is the cost of completing the units in beginning inventory?
a. $ 960
b. $ 1,380
c. $ 1,860
d. $11,940

Enterprise Company

Enterprise Company adds material at the start to its production process and has the following information
available for March:

Beginning Work in Process Inventory

(40% complete as to conversion) 7,000 units
Started this period 32,000 units
Ending Work in Process Inventory
(25% complete as to conversion) 2,500 units
Transferred out ?

____ 20. Refer to Enterprise Company. Compute the number of units started and completed in March.
a. 29,500
b. 34,500
c. 36,500
d. 39,000
____ 21. Refer to Enterprise Company. Calculate equivalent units of production for material using FIFO.
a. 32,000
b. 36,800
c. 37,125
d. 39,000
____ 22. Refer to Enterprise Company. Calculate equivalent units of production for conversion using FIFO.
a. 30,125
b. 34,325
c. 37,125
d. 39,000
____ 23. Refer to Enterprise Company. Calculate equivalent units of production for material using weighted average.
a. 32,000
b. 34,325
c. 37,125
d. 39,000
____ 24. Refer to Enterprise Company. Calculate equivalent units of production for conversion using weighted
average.
a. 34,325
b. 37,125
c. 38,375
d. 39,925

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 House Company

House Company adds material at the start of production. The following production information is available
for June:

Beginning Work in Process Inventory

(45% complete as to conversion) 10,000 units
Started this period 120,000 units
Ending Work in Process Inventory
(80% complete as to conversion) 8,200 units

Beginning Work in Process Inventory Costs:

Material $24,500
Conversion 68,905

Current Period Costs:

Material $ 75,600
Conversion 130,053

____ 25. Refer to House Company. How many units must be accounted for?
a. 118,200
b. 128,200
c. 130,000
d. 138,200
____ 26. Refer to House Company. What is the total cost to account for?
a. $ 93,405
b. $205,653
c. $274,558
d. $299,058
____ 27. Refer to House Company. How many units were started and completed in the period?
a. 111,800
b. 120,000
c. 121,800
d. 130,000
____ 28. Refer to House Company. What are the equivalent units for material using the weighted average method?
a. 120,000
b. 123,860
c. 128,360
d. 130,000
____ 29. Refer to House Company. What are the equivalent units for material using the FIFO method?
a. 111,800
b. 120,000
c. 125,500
d. 130,000
____ 30. Refer to House Company. What are the equivalent units for conversion using the weighted average method?
a. 120,000
b. 123,440
c. 128,360
d. 130,000
____ 31. Refer to House Company. What are the equivalent units for conversion using the FIFO method?
a. 118,360
b. 122,860
c. 123,860
d. 128,360

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____ 32. Refer to House Company. What is the material cost per equivalent unit using the weighted average method?
a. $.58
b. $.62
c. $.77
d. $.82
____ 33. Refer to House Company. What is the conversion cost per equivalent unit using the weighted average
method?
a. $1.01
b. $1.05
c. $1.55
d. $1.61
____ 34. Refer to House Company. What is the cost of units completed using the weighted average?
a. $237,510
b. $266,742
c. $278,400
d. $282,576
____ 35. Refer to House Company. What is the conversion cost per equivalent unit using the FIFO method?
a. $1.05
b. $.95
c. $1.61
d. $1.55
____ 36. Refer to House Company. What is the cost of all units transferred out using the FIFO method?
a. $204,624
b. $191,289
c. $287,004
d. $298,029

Seraphim Company

Beginning inventory (30% complete as to Material B 700 units

and 60% complete for conversion)
Started this cycle 2,000 units
Ending inventory (50% complete as to Material B and 500 units
80% complete for conversion)

Beginning inventory costs:

Material A $14,270
Material B 5,950
Conversion 5,640

Current Period costs:

Material A $40,000
Material B 70,000
Conversion 98,100

Material A is added at the start of production, while Material B is added uniformly throughout the process.

____ 37. Refer to Seraphim Company. Assuming a weighted average method of process costing, compute EUP units
for Materials A and B.
a. 2,700 and 2,280, respectively
b. 2,700 and 2,450, respectively
c. 2,000 and 2,240, respectively
d. 2,240 and 2,700, respectively
____ 38. Refer to Seraphim Company Assuming a FIFO method of process costing, compute EUP units for Materials
A and B.
a. 2,700 and 2,280, respectively
b. 2,700 and 2,450, respectively
c. 2,000 and 2,240, respectively

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 d. 2,450 and 2,880, respectively
____ 39. Refer to Seraphim Company Assuming a weighted average method of process costing, compute EUP for
conversion.
a. 2,600
b. 2,180
c. 2,000
d. 2,700
____ 40. Refer to Seraphim Company Assuming a FIFO method of process costing, compute EUP for conversion.
a. 2,240
b. 2,180
c. 2,280
d. 2,700
____ 41. Refer to Seraphim Company Assuming a weighted average method of process costing, compute the average
cost per unit for Material A.
a. $20.10
b. $20.00
c. $31.25
d. $31.00
____ 42. Refer to Seraphim Company Assuming a FIFO method of process costing, compute the average cost per EUP
for Material A.
a. $31.25
b. $20.10
c. $20.00
d. $31.00
____ 43. Refer to Seraphim Company Assuming a FIFO method of process costing, compute the average cost per EUP
for Material B.
a. $20.10
b. $31.25
c. $20.00
d. $31.00
____ 44. Refer to Seraphim Company Assuming a weighted average method of process costing, compute the average
cost per EUP for Material B.
a. $20.00
b. $31.25
c. $20.10
d. $31.00
____ 45. Refer to Seraphim Company Assuming a FIFO method of process costing, compute the average cost per EUP
for conversion.
a. $45.50
b. $45.00
c. $43.03
d. $47.59
____ 46. Refer to Seraphim Company Assuming a weighted average method of process costing, compute the average
cost per EUP for conversion.
a. $39.90
b. $45.00
c. $43.03
d. $47.59

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 Mathis Company

The following information is available for Mathis Company for the current year:

Beginning Work in Process Costs of Beginning Work in Process:

(75% complete) 14,500 units Material $25,100
Started 75,000 units Conversion 50,000
Ending Work in Process Current Costs:
(60% complete) 16,000 units Material $120,000
Abnormal spoilage 2,500 units Conversion 300,000
Normal spoilage 5,000 units
(continuous)
Transferred out 66,000 units

All materials are added at the start of production.

____ 47. Refer to Mathis Company. Using weighted average, what are equivalent units for material?
a. 82,000
b. 89,500
c. 84,500
d. 70,000
____ 48. Refer to Mathis Company. Using weighted average, what are equivalent units for conversion costs?
a. 80,600
b. 78,100
c. 83,100
d. 75,600
____ 49. Refer to Mathis Company. What is the cost per equivalent unit for material using weighted average?
a. $1.72
b. $1.62
c. $1.77
d. $2.07
____ 50. Refer to Mathis Company. What is the cost per equivalent unit for conversion costs using weighted average?
a. $4.62
b. $4.21
c. $4.48
d. $4.34
____ 51. Refer to Mathis Company. What is the cost assigned to normal spoilage using weighted average?
a. $31,000
b. $15,500
c. $30,850
d. None of the responses are correct
____ 52. Refer to Mathis Company. Assume that the cost per EUP for material and conversion are $1.75 and $4.55,
respectively. What is the cost assigned to ending Work in Process?
a. $100,800
b. $87,430
c. $103,180
d. $71,680
____ 53. Refer to Mathis Company. Using FIFO, what are equivalent units for material?
a. 75,000
b. 72,500
c. 84,500
d. 70,000
____ 54. Refer to Mathis Company. Using FIFO, what are equivalent units for conversion costs?
a. 72,225
b. 67,225
c. 69,725
d. 78,100

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____ 55. Refer to Mathis Company. Using FIFO, what is the cost per equivalent unit for material?
a. $1.42
b. $1.66
c. $1.71
d. $1.60
____ 56. Refer to Mathis Company. Using FIFO, what is the cost per equivalent unit for conversion costs?
a. $4.46
b. $4.15
c. $4.30
d. $3.84
____ 57. Refer to Mathis Company. Assume that the FIFO EUP cost for material and conversion are $1.50 and $4.75,
respectively. Using FIFO what is the total cost assigned to the units transferred out?
a. $414,194
b. $339,094
c. $445,444
d. $396,975

Harris Company

Harris Company has the following information for July:

Units started 100,000 units

Beginning Work in Process: (35% complete) 20,000 units
Normal spoilage (discrete) 3,500 units
Abnormal spoilage 5,000 units
Ending Work in Process: (70% complete) 14,500 units
Transferred out 97,000 units
Beginning Work in Process Costs:
Material $15,000
Conversion 10,000

All materials are added at the start of the production process. Harris Company inspects goods at 75 percent
completion as to conversion.

____ 58. Refer to Harris Company. What are equivalent units of production for material, assuming FIFO?
a. 100,000
b. 96,500
c. 95,000
d. 120,000
____ 59. Refer to Harris Company. What are equivalent units of production for conversion costs, assuming FIFO?
a. 108,900
b. 103,900
c. 108,650
d. 106,525
____ 60. Refer to Harris Company. Assume that the costs per EUP for material and conversion are $1.00 and $1.50,
respectively. What is the amount of the period cost for July using FIFO?
a. $0
b. $9,375
c. $10,625
d. $12,500
____ 61. Refer to Harris Company. Assume that the costs per EUP for material and conversion are $1.00 and $1.50,
respectively. Using FIFO, what is the total cost assigned to the transferred-out units (rounded to the nearest
dollar)?
a. $245,750
b. $244,438
c. $237,000
d. $224,938

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____ 62. Refer to Harris Company. What are equivalent units of production for material assuming weighted average is
used?
a. 107,000
b. 116,500
c. 120,000
d. 115,000
____ 63. Refer to Harris Company. What are equivalent units of production for conversion costs assuming weighted
average is used?
a. 113,525
b. 114,400
c. 114,775
d. 115,650
____ 64. Refer to Harris Company. Assume that the costs per EUP for material and conversion are $1.00 and $1.50,
respectively. What is the cost assigned to normal spoilage, using weighted average, and where is it assigned?

Value Assigned To

a. $7,438 Units transferred out and Ending Inventory

b. $7,438 Units transferred out
c. $8,750 Units transferred out and Ending Inventory
d. $8,750 Units transferred out
____ 65. Refer to Harris Company. Assume that the costs per EUP for material and conversion are $1.00 and $1.50,
respectively. Assuming that weighted average is used, what is the cost assigned to ending inventory?
a. $29,725.00
b. $37,162.50
c. $38,475.00
d. $36,250.00

Figure 6-2.
The Bing Corporation produces a product that passes through two processes. During June, the first
department transferred 60,000 units to the second department. The cost of the units transferred was $90,000.
Materials are added uniformly in the second process. The following information was provided about the
second department's operations during June:

Units, beginning work in process 5,000

Units, ending work in process 13,000

____ 66. Refer to Figure 6-2. Units started in the second department during June for Bing Corporation would be:

a. 60,000 b. 55,000 c. 73,000 d. 48,000

____ 67. Refer to Figure 6-2. Units completed in the second department during June for Bing Corporation would be
a. 48,000. c. 49,000.
b. 52,000. d. 55,000.
____ 68. Refer to Figure 6-2. Units started and completed in Bing Corporation's second department during June would
be
a. 48,000. c. 47,000.
b. 37,000. d. 55,000.

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 Hazel Company

The following information is available for Hazel Company for April:

Started this month 80,000 units

Beginning WIP
(40% complete) 7,500 units
Normal spoilage (discrete) 1,100 units
Abnormal spoilage 900 units
Ending WIP
(70% complete) 13,000 units
Transferred out 72,500 units

Beginning Work in Process Costs:

Material $10,400
Conversion 13,800
Current Costs:
Material $120,000
Conversion 350,000

All materials are added at the start of production and the inspection point is at the end of the process.

____ 69. Refer to Hazel Company. What are equivalent units of production for material using FIFO?
a. 80,000
b. 79,100
c. 78,900
d. 87,500
____ 70. Refer to Hazel Company. What are equivalent units of production for conversion costs using FIFO?
a. 79,700
b. 79,500
c. 81,100
d. 80,600
____ 71. Refer to Hazel Company. What are equivalent units of production for material using weighted average?
a. 86,600
b. 87,500
c. 86,400
d. 85,500
____ 72. Refer to Hazel Company. What are equivalent units of production for conversion costs using weighted
average?
a. 83,600
b. 82,700
c. 82,500
d. 81,600
____ 73. Refer to Hazel Company. What is cost per equivalent unit for material using FIFO?
a. $1.63
b. $1.37
c. $1.50
d. $1.56
____ 74. Refer to Hazel Company. What is cost per equivalent unit for conversion costs using FIFO?
a. $4.00
b. $4.19
c. $4.34
d. $4.38
____ 75. Refer to Hazel Company. What is cost per equivalent unit for material using weighted average?
a. $1.49
b. $1.63
c. $1.56
d. $1.44

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____ 76. Refer to Hazel Company. What is cost per equivalent unit for conversion costs using weighted average?
a. $4.19
b. $4.41
c. $4.55
d. $4.35
____ 77. Refer to Hazel Company. What is the cost assigned to ending inventory using FIFO?
a. $75,920
b. $58,994
c. $56,420
d. $53,144
____ 78. Refer to Hazel Company. What is the cost assigned to abnormal spoilage using FIFO?
a. $1,350
b. $3,906
c. $5,256
d. $6,424
____ 79. Refer to Hazel Company. What is the cost assigned to normal spoilage and how is it classified using weighted
average?
a. $6,193 allocated between WIP and Transferred Out
b. $6,424 allocated between WIP and Transferred Out
c. $6,193 assigned to loss account
d. $6,424 assigned to units Transferred Out
____ 80. Refer to Hazel Company. What is the total cost assigned to goods transferred out using weighted average?
a. $435,080
b. $429,824
c. $428,656
d. $423,400

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