bottles sol 12 Ques 1

Material
Units to be accounted for Equivalent untis 46520
WIP Material 90%
conversion 80% 13600 Material
started into production 34800 Trasnferred to next department 39,000
48400 Ending WIP
Material 7,520
Units accounted for as follows Conversion
Transferred to next dept 39000 Equivalent units 46,520
WIP Material 80% 9400
conversion 50% Working
Total units accounted for 48400 Material 9400*0.8
Conversion 9400*0.5
cost reconciliation
Cost to be accounted for Ques 2
WIP Material
Cost added 46240 Cost per equivalent units 2.75
total cost 128449
total cost 174689 Cost per equivalent unit Material
Cost of beginning WIP $ 34,680
Cost accounted for as follows Cost added during period $ 93,250
WIP 25709 total cost(a) $ 127,930
Tfd 148900 Equivalent units of production(b) 46,520
total cost 174609 Cost per equivalent unit $ 2.75

Ques 3
Ques 2 Units started and completed 25,400
beg mat 34680 39000-13600
cc 11560
Ques 4 No
added mat 93250
cc 35199

Ques 4 No, the manager should not be rewarded for good cost control. The M
materials 2.35 2.85 Department’s low unit cost for April occurred because the costs of the
month have been averaged in with April’s costs. This is a major criticism
weighted-average method. Costs computed for product costing purp
should not be used to evaluate cost control or to measure performance
current period
 Conversion
43700

Conversion
39,000

4,700
43,700

Conversion
1.07

Conversion
$ 11,560
$ 35,199
$ 46,759
43,700
$ 1.07

ed for good cost control. The Mixing

urred because the costs of the prior
s costs. This is a major criticism of the
puted for product costing purposes
ol or to measure performance for the
eriod