Process Costing QuizzerWeighted Average

NAME Deterala, Hazel Jean M. Section:_P-COSTB___ Score:_____

Supply the answer. Support with solution in good form (in Yellow Paper)

1. Hulk Company uses a weighted average process costing system and started 30,000 units this month. Hulk had 12,000
units that were 20 percent complete as to conversion costs in beginning Work in Process Inventory and 3,000 units
that were 40 percent complete as to conversion costs in ending Work in Process Inventory. What are equivalent units
for conversion costs? 40,200 units

Nice Corporation

Nice Corporation. has the following information for August:

Beginning Work in Process Inventory

(70% complete as to conversion) 6,000 units

Started 24,000 units
Ending Work in Process Inventory
(10% complete as to conversion) 8,500 units

Beginning WIP Inventory Costs:

Material P23,400

Conversion 50,607

Current Period Costs:

Material P31,500

Conversion 76,956

All material is added at the end of the process and all finished products are transferred out.

2. Assume that weighted average process costing is used. What is the cost per equivalent unit for conversion?
=P 4.24
3. Assume that FIFO process costing is used. What is the cost per equivalent unit for materials?

= P 1.83
Beautiful Creations Corporation
The Beautiful Creations Corporation makes wreaths in two departments: Forming and Decorating. Forming began
the month with 500 wreaths in process that were 100 percent complete as to material and 40 percent complete as
to conversion. During the month, 6,500 wreaths were started. At month end, Forming had 2,100 wreaths that were
still in process that were 100 percent complete as to material and 50 percent complete as to conversion. Assume
Forming uses the weighted average method of process costing. Costs in the Forming Department are as follows:

Beginning Work in Process Costs:

Material P1,000

Conversion 1,500

Current Costs:
Material P3,200

Conversion 5,045
 Process Costing QuizzerWeighted Average

The Decorating Department had 600 wreaths in process at the beginning of the month that were 80 percent
complete as to material and 90 percent complete as to conversion. The department had 300 units in ending Work
in Process that were 50 percent complete as to material and 75 percent complete as to conversion. Decorating uses
the FIFO method of process costing, and costs associated with Decorating are:
Beginning WIP Inventory:
Transferred In P1,170
Material 4,320
Conversion 6,210

Current Period:
Transferred In ?
Material P67,745
Conversion 95,820

4. Refer to Beautiful Creations Corporation. How many units were transferred to Decorating during the month?
= 4,900 units
5. What was the cost transferred out of Forming during the month? = P8,330
6. Refer to Beautiful Creations Corporation. Assume 8,000 units were transferred to Decorating. Compute the number
of equivalent units as to costs in Decorating for the transferred-in cost component. = 8,000 units
7. Assume 8,000 units were transferred to Decorating. Compute the number of equivalent units in Decorating for
material. = 7,970 units
8. Assume that 8,000 units were transferred to Decorating at a total cost of P16,000. What is the material cost per
equivalent unit in Decorating? = P8.50
9. Jackson Company transferred 6,000 units to Finished Goods Inventory during August. On August 1, the company
had 400 units on hand (35 percent complete as to both material and conversion costs). On August 31, the
company had 750 units (20 percent complete as to material and 30 percent complete as to conversion costs). The
number of units started and completed during August was: 5, 600 units

10. Blue Company manufactures Product X in a two-stage production cycle in Department 1 and 2. Materials are
added at the beginning of the process in Department 2. Blue uses the average costing method. Conversion costs
for Department 2 were 50% complete as to the 6,000 units in the beginning work in process and 75% complete
as to the 8,000 units in ending work in process. A total of 12,000 units were complete and transferred out of
Department 2 during May. An analysis of the costs relating to work in process and production activity in
Department 2 for May follows:
Transferred- Materials Costs Conversion Costs
In Costs
Work in process, May 1:
Costs Attached P12,000 P2,500 P1,300
May production:
Costs Attached 29,000 5,500 5,000

What is the total cost of the units completed and transferred out for May of Product X?____2.80___

11. The beginning work in process inventory in the Assembly Department of the Sun Company on August 1 was
600 units, to which 60% of labour had been applied at a cost of P2,880. During august, 8,000 units were
transferred into the department and 7,200 units were transferred out to the next department. Labor costs of
P91,227 were incurred during the month. The units in the ending work in process in the Assembly Department
were estimated to be 30 percent complete as to labor.
What is the labor cost in the units transferred out during the month?_________

12. Using the data in Number 11, what is the labor cost in the ending work in process inventory?_______
13-14. The beginning work in process in the Cooking Department of KFC Company on April 1 was 1,000 units, to
which 100 percent of materials had been added at a cost of P10,000. During April, 6,000 units were transferred
 Process Costing QuizzerWeighted Average

into the department and 6,700 units were transferred out to finished goods. Material costs of P63,272 were
incurred during the month. The units in the ending work in process were 60 percent complete as to materials.
What is the materials cost in the units (13)transferred out to finished goods and in the (14) ending work in
process inventory?

15. Daniels Company started 9,000 units in March. The company transferred out 7,000 finished units and ended the
period with 3,500 units that were 40 percent complete as to both material and conversion costs. Beginning Work
in Process Inventory units were _________1500______