ACCT 2013 - Concept 8

1. 1Mills Manufacturing computed the physical flow of completed units for the month of January 1, 20X1, as follows:
   
   Units completed:
   
   From work in process on January 1, 20X1 15,000
   From January production 45,000
   60,000
   In addition to the above, units in ending work in process at January 31, 20X1, were 12,000. Materials are added at the beginning of the process. The work in process at January 1, 20X1, was 80% complete as to conversion costs and the work in process at January 31, 20X1, was 60% complete as to conversion costs. What are the equivalent units of materials and conversion for the month of January 20X1, assuming a weighted-average application of the process costing method?

   1. A57,000 55,200
   2. B57,000 57,000
   3. C72,000 67,200
   4. D72,000 72,000
2. 2Process costing would be well-suited for which of the following businesses?

   1. Alandscaping
   2. Bautomotive car repair
   3. Cpoultry farming
   4. Dship building
3. 3The Pulp Department of Paper Mill, Inc. had 120,000 tons of pulp to account for in July. Of the 120,000 tons, 90,000 tons were completed and transferred to the Screening Department, and the remaining 30,000 tons were 60% complete. The materials required for production are added at the beginning of the process. Conversion costs are added equally throughout the refining process. Calculate the total equivalent units of production for conversion costs.

   1. A108,000 units
   2. B120,000 units
   3. C90,000 units
   4. D84,000 units
4. 4Beginning work in process was 1,200 units, 2,800 additional units were put into production, and ending work in process was 500 units. How many units were completed?

   1. A500
   2. B3,000
   3. C3,300
   4. D3,500
5. 5The appropriate journal entry to transfer the cost of completed units from the Work in Process account would involve a credit to Work in Process and a debit to which of the following accounts?

   1. AIncome Summary
   2. BRaw Materials Inventory
   3. CFinished Goods
   4. DManufacturing Summary
6. 6Wright Company had, at the beginning of 2017, a work in process of 10,000 units. During 2017, 57,500 additional units were started into production.
   
   Ending work in process on December 31, 2017, was 7,500 units.
   
   The beginning work in process was 100% complete as to direct materials and 75% complete as to conversion costs.
   
   The ending work in process was 100% complete as to direct materials and 50% complete as to conversion costs.
   
   Total direct material put into process cost $57,500.
   
   Total conversion cost put into process cost $84,375.
   
   Beginning work in process cost $21,250; $13,250 for materials and $8,000 for conversion.
   
   All materials are added at the start of the production process, and conversion costs are incurred uniformly throughout manufacturing. Wright Company uses a weighted-average process cost system.
   
   The cost per equivalent unit (rounded to the nearest cent) for conversion cost for 2017 was:

   1. A$1.00
   2. B$1.23
   3. C$1.33
   4. D$1.45

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ACCT 2013 Quiz sobre ACCT 2013 - Concept 8, criado por Adam Peterson em 19-01-2018.

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Adam Peterson

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