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azamat
3 years ago
10

Stevens Company's inventory on March 1 and the costs charged to Work in Process—Department B during March are as follows:

Business
1 answer:
lisov135 [29]3 years ago
6 0

Answer and Explanation:

Stevens Company

Cost of Production Report—Department B

For the Month Ended March 31

UNITS Whole Units Direct Materials Conversion

Units charged to production:

Inventory in process, March 1 12,000

Received from Department A 55,000

Total units accounted for by Dept. B 67,000

Units to be assigned costs:

Inventory in process, March 1 (60% completed) 12,000 0 4,800

Started and completed in March 49,000 49,000 49,000

Transferred to finished goods in March 61,000 49,000 53,800

Inventory in process, March 31 (70% complete) 6,000 6,000 4,200

Total units to be assigned costs 67,000 55,000 58,000

Cost Direct Materials Conversion Total

Total costs for March in Dept. B 115,500 522,916

÷Total equivalent units 55,000 58,000

Cost per equivalent unit $2.10 $9.01

Costs charged to production: 62,400

Inventory in process, March 1 638,416

Costs incurred in March 700,816

Total costs accounted for by Department B

Cost allocated to completed and

partially completed units:

Inventory in process, March 1, balance 62,400

To complete inventory in process, March 1 0 43,276 43,276

Started and completed in March 102,900 441,774 544,674

Transferred to finished goods in March 102,900 485,050, 587,950

Inventory in process, March 31 12,600 37,866, 50,466

Total costs assigned by the Dept. B 115,500 522,916 638,416

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