b. Department S is the fourth, and final, stage of Service Corporation's production cycle. On March 1, beginning work in process contained 103,000 units, which were 80 percent complete as to conversion costs. During March, 690,000 units were transferred in from the third stage of the production cycle. On March 31, ending work in process contained 80,000 units, which were 35 percent complete as to conversion costs. Materials are added when the units are 50 percent complete with respect to conversion costs. Using the weighted-average method, what are the equivalent units of production for prior department costs, materials, and conversion costs for the month of March, respectively?
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
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Select the best answer for each of the following independent multiple-choice questions.
b. Department S is the fourth, and final, stage of Service Corporation's production cycle. On March 1, beginning work in process contained 103,000 units,
which were 80 percent complete as to conversion costs. During March, 690,000 units were transferred in from the third stage of the production cycle.
On March 31, ending work in process contained 80,000 units, which were 35 percent complete as to conversion costs. Materials are added when the
units are 50 percent complete with respect to conversion costs. Using the weighted-average method, what are the equivalent units of production for
prior department costs, materials, and conversion costs for the month of March, respectively?
Multiple Choice
O
O
Prior Department Costs 793,000; Materials 713,000; Conversion 713,000
None of the options are correct
Prior Department Costs 793,000; Materials 713,000; Conversion 741,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fdeaf82d8-7c13-47e8-9a82-92ef28c88de0%2F6491ba6b-f839-463a-964b-c81e4a074196%2Fsyc89rb_processed.png&w=3840&q=75)
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