Scribd
Upload
54 views3 pages

Exercise 6

The document provides a quantity schedule and cost information for a production department. It shows that 25,000 units were in opening inventory, 135,000 units were transferred in, 100,000 units were transferred out, and 60,000 units were in ending inventory. The total cost to be accounted for was $165,000 which was accounted for through costs of opening inventory, costs added during the period, and costs of closing inventory.

Uploaded by

Muhammad Taimur
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
54 views3 pages

Exercise 6

The document provides a quantity schedule and cost information for a production department. It shows that 25,000 units were in opening inventory, 135,000 units were transferred in, 100,000 units were transferred out, and 60,000 units were in ending inventory. The total cost to be accounted for was $165,000 which was accounted for through costs of opening inventory, costs added during the period, and costs of closing inventory.

Uploaded by

Muhammad Taimur
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
You are on page 1/ 3

Question 6

Quantity Schedule:
Units work in process opening inventory 25000
Units transferred in from preceeding dep. 135000

Uniits transferred out 100000


Units work in process ending period 60000
Units lost 0

Cost charged to Department Units


Cost of units charged WIP opening 25000

Cost added by department


CC 110000
Total cost to be accounted for

Cost Accounted for as follows


Units transferred WIP opening
Opening WIP this period:
CC (25000*20)*1.3
Total
Cost added during this period
Units transferred started and compeleted this period(75000*1.3)
Closing WIP:
Adjusted cost from proceeding dep.
CC (60000*.50)*1.3
Total Cost
Total Cost to be Accouted for
Equivalent Production CC
Units transferred out 100000
Less: Opening units 25000
Units compeleted and transferred 75000
Add: Opening WIP this period (25000*.20) 5000
Add: Closing WIP this period (60000*.50) 30000
EP 110000
Cost per Unit 1.3
160000

160000

Cost Unit Cost


22000

143000 1.3
165000 1.3

22000

6500
28500

97500

0
39000
136500
165000

You might also like