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Zielflug [23.3K]
4 years ago
5

The Assembly Department uses a process cost accounting system and a weighted-average cost flow assumption. The department adds m

aterials at the beginning of the process and incurs conversion costs uniformly throughout the process. During July, $190,000 of materials costs and $137,100 in conversion costs were charged to the department. The beginning work in process inventory was $93,000 on July 1, comprised of $80,000 of materials costs and $13,000 of conversion costs.Other data for the month of July are as follows: Beginning work in process inventory, 7/1 25,000 units (40% complete) Units completed and transferred out 70,000 units Ending work in process inventory, 7/31 30,000 units (30% complete)How many physical units have to be accounted for in July?
Business
1 answer:
Pavel [41]4 years ago
5 0

Answer:

Physical units have to be accounted for in July are 100,000 units

Explanation:

The total number of units that were in the process is the Physical units have to be accounted for in July.

Total Number of units in the process is determined by adding together the Units of Opening Work In Process in july and the Units started in July.

Units of Opening Work In Process are already given at 25,000. We are not given the Units started in Process during the period.

However with Process costing Units in Process always units out of the process.Therefore we will use this concept

<u>Units out of Process:</u>

Completed and Transferred    70,000

<em>Add </em>Closing Work In Process 30,000

Units Out                                 100,000

Therefore units in process during the period and units that need to be accounted for are 100,000 units

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