Safe-N-Sound, which uses FIFO process costing, makes a backyard fencing system

for pet owners in a two-stage production system. In the Cutting Dept.,

wood is cut and assembled into 6-foot fence sections. In the Coating Dept.,
the sections are pressure treated to resist the effects of weather and then coated
with a preservative. The following production and cost data are available for
March 2010 (units are 6-foot fence sections):

UNITS Cutting Dept. Coating Dept. 1st Step: Units to Account for
Beginning WIP inventory (March 1) 1,300 900 Beg. WIP inventory
Complete as to material 80% 0% Units started
Complete as to conversion 75% 60% Units to Account for
Units started in March 4,800 ?
Units completed in March ? 4,500 2nd Step: Units Accounted for
Ending WIP Inventory (March 31) 1,100 ? *Beg. WIP inventory
Complete as to material 40% 0% *S&C during the current period
Complete as to conversion 20% 40% Total units completed
*Ending WIP inventory
COSTS Units Accounted for
Beginning WIP inventory
Transferred In 11,840 4th Step: Total Cost to Account fo
Material 8,345 0
Conversion 7,720 1,674 Beg. WIP inventory
Current Current Period Cost
Transferred In ? ? Total Cost to Account for
Material 35,200 4950 5th Step: Cost per EUP
Conversion 21,225 11,300

1st Step: Units to Account for

UNITS Cutting Dept. Coating Dept. Beg. WIP inventory
Beginning WIP inventory (March 1) 1,300 900 Units received from Cutting Dept.
Complete as to material 80% 0% Units to Account for
Complete as to conversion 75% 60%
Units started in March 4,800 ? 2nd Step: Units Accounted for
Units completed in March ? 4,500 *Beg. WIP inventory
Ending WIP Inventory (March 31) 1,100 ? *S&C during the current period
Complete as to material 40% 0% Total units completed
Complete as to conversion 20% 40% *Ending WIP inventory
Units Accounted for
COSTS
Beginning WIP inventory 4th Step: Total Cost to Account fo
Transferred In 11,840
Material 8,345 0 Beg. WIP inventory
Conversion 7,720 1,674 Current Period Cost
Current Total Cost to Account for

This study source was downloaded by 100000853650481 from CourseHero.com on 11-26-2022 04:11:36 GMT -06:00

https://www.coursehero.com/file/160109672/Process-CostingMulti-Dept-Increasepdf/
 Transferred In ? ? 5th Step: Cost per EUP
Material 35,200 4950
Conversion 21,225 11,300

This study source was downloaded by 100000853650481 from CourseHero.com on 11-26-2022 04:11:36 GMT -06:00

https://www.coursehero.com/file/160109672/Process-CostingMulti-Dept-Increasepdf/
 CUTTING DEPARTMENT
1st Step: Units to Account for
Beg. WIP inventory 1,300
Units started 4,800
Units to Account for 6,100
3rd Step: Equivalent Units of Production (EUP)
2nd Step: Units Accounted for Materials Conversion
*Beg. WIP inventory 1,300 20% 260 25% 325
*S&C during the current period 3,700 100% 3700 100% 3700
Total units completed 5,000
*Ending WIP inventory 1,100 40% 440 20% 220
Units Accounted for 6,100 EUP 4400 4245

4th Step: Total Cost to Account for

Total Materials Conversion
Beg. WIP inventory 16,065
Current Period Cost 56,425 35,200 21,225
Total Cost to Account for 72,490
5th Step: Cost per EUP
Divide by EUP 4400 4245
13 8 5

Coating DEPARTMENT
1st Step: Units to Account for
Beg. WIP inventory 900
Units received from Cutting Dept. 5,000
Units to Account for 5900
3rd Step: Equivalent Units of Production (EUP)
2nd Step: Units Accounted for Transferred In Materials Conversion
*Beg. WIP inventory 900 0% 0 100% 900 0.4 360
*S&C during the current period 3,600 3,600 3,600 3,600
Total units completed 4,500
*Ending WIP inventory 1,400 100% 1,400 0% 0 0.4 560
Units Accounted for 5900 EUP 5000 4500 4520

4th Step: Total Cost to Account for

Total Transferred In Materials Conversion
Beg. WIP inventory 13,514
Current Period Cost 84,120 67,870 4950 11,300
Total Cost to Account for 97,634

This study source was downloaded by 100000853650481 from CourseHero.com on 11-26-2022 04:11:36 GMT -06:00

https://www.coursehero.com/file/160109672/Process-CostingMulti-Dept-Increasepdf/
5th Step: Cost per EUP
Divide by EUP 5000 4500 4520
17.17 13.57 1.1 2.5

This study source was downloaded by 100000853650481 from CourseHero.com on 11-26-2022 04:11:36 GMT -06:00

https://www.coursehero.com/file/160109672/Process-CostingMulti-Dept-Increasepdf/
EPARTMENT
6th Step: Total Cost Accounted for (Cost Assignment)

*Beg. WIP inventory 16,065

Cost to complete beg. WIP
Materials (260 X 8) 2080
Conversion (325 X 5) 1625 3705

Total Cost transferred out FG on beg. WIP 19,770

*S&C during the period (3700 X 13) 48100
Total Cost Transferred to Assembly Dept. 67,870
*Ending WIP inventory
Cost to complete ending WIP
Materials (440 X 8) 3520
Conversion (220 X 5) 1100 4620

Total Cost Accounted for 72,490

EPARTMENT
6th Step: Total Cost Accounted for (Cost Assignment)

*Beg. WIP inventory 13,514

Cost to complete beg. WIP
Transferred In (0 x 13.574) 0
Materials (900 x 1.1) 990
Conversion (360 x 2.5) 900 1890
Total Cost of goods manufactured 15,404
*S&C during the period (3600 x 17.174) 61826.4
Total Cost Transferred out 77,230
*Ending WIP inventory
Cost to complete ending WIP
Transferred In (1400 x 13.574) 19003.6
Materials (0 x 1.1) 0
Conversion (560 x 2.5) 1400 20403.6
Total Cost Accounted for 97,634

This study source was downloaded by 100000853650481 from CourseHero.com on 11-26-2022 04:11:36 GMT -06:00

https://www.coursehero.com/file/160109672/Process-CostingMulti-Dept-Increasepdf/
 This study source was downloaded by 100000853650481 from CourseHero.com on 11-26-2022 04:11:36 GMT -06:00

https://www.coursehero.com/file/160109672/Process-CostingMulti-Dept-Increasepdf/
Powered by TCPDF (www.tcpdf.org)