Ridgecrest Company manufactures plastic storage crates and has the following information available the month of April: Work in process, April 1 (100% complete for materials, 40% for conversion) Direct materials Conversion cost Number of units started April costs Direct materials Conversion cost Work in process, April 30 (100% complete 31,800 units $ 48,600 $ 66,600 95,400 units $ 136,200 $ 202,200
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.
![IN Uprayed below.
Ridgecrest Company manufactures plastic storage crates and has the following information available for
the month of April:
Work in process, April 1
(100% complete for materials, 40% for conversion)
Direct materials
Conversion cost
Number of units started
April costs
Direct materials
Conversion cost
Work in process, April 30
(100% complete for materials, 20% for conversion)
E3-9 (Algo) Weighted-Average Method [LO 6-2, 6-4]
Required 1
Required 2 Required 3 Required 4
Reconcile the number of physical units worked on during the period.
Physical
Units
1. Reconcile the number of physical units worked on during the period.
2. Calculate the number of equivalent units.
3. Calculate the cost per equivalent unit.
4. Reconcile the total cost of work in process.
Beginning Units
Units Started
Total Units
Required:
Using the weighted-average method of process costing, complete each of the following steps:
Required 1
Units Completed
Ending Inventory
Total Units
Physical
Units
31,800
95,400
127,200
Flequired 2 Required 3
Calculate the number of equivalent units.
Required 1 Required 2
Units Completed
Ending Units
Total Units
Cost per Equivalent Unit
Units Completed
Ending Inventory
Total Cost Accounted for
Physical
Units
Required 3
$
0
Direct
Materials
Required 3
Direct
Materials
Required 4
Conversion
0 $
Required 4
< Required 3
78,600
48,600
127,200
Equivalent Units
0
Calculate the cost per equivalent unit. (Round your answers to 5 decimal places.)
Direct
Materials.
Required 4
Conversion
Required 1 Required 2
Reconcile the total cost of work in process. (Use Cost per Equivalent Unit rounded to 5 decimal places and your final answers
to the nearest whole dollar amount.)
0 $
$ 48,600
$ 66,600
31,800 units
$ 136,200
$ 202,200
www.
Conversion
Total Cost
95,400 units
0
48,600 units
0
Required 4 >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7dd775b0-b0bb-42a3-9da3-e7047ab1ba1c%2Fc3628b7a-fbee-4df7-803a-3a8c62ed41c7%2F0sgkvit_processed.jpeg&w=3840&q=75)
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
