Compute the total cost of the units transferred to finished goods Inventory. JKL FABRICATORS Inc., manufactures frames to bicycles. Each frame passes through three processes: CUTTING, WELDING &...


Compute the total cost of the units transferred to finished goods Inventory.<br>JKL FABRICATORS Inc., manufactures frames to bicycles. Each frame passes through three<br>processes: CUTTING, WELDING & PAINTING. In July, the PAINTING Department reported<br>the following data.<br>Beginning WIP consisted of 40,500 units, 95% complete with respect to direct labor and<br>overhead. Costs in the beginning inventory included prime cost, P15,000; applied<br>overhead P12,110 and transferred-in, P31,500.<br>Costs added to production during the month were direct materials, P72,900; direct labor<br>P64,880; transferred-in, P102,060.<br>Overhead was assigned using the following information:<br>Activity<br>Inspection<br>Actual Driver Usage<br>3,000 inspection hours<br>1,200 maintenance hours<br>Rate<br>P7.50 per inspection hour<br>P12 per maintenance hour<br>P10 per receiving order<br>Maintenance<br>Receiving<br>1,000 recciving orders<br>At the end of the month, 121,500 units were transferred out to the Finished Goods<br>Inventory, leaving 13,500 units in the ending work in process, 25% to complete.<br>Units are inspected when they are 90% converted afterwards paints are added.<br>The company is using first-in-first out method.<br>

Extracted text: Compute the total cost of the units transferred to finished goods Inventory. JKL FABRICATORS Inc., manufactures frames to bicycles. Each frame passes through three processes: CUTTING, WELDING & PAINTING. In July, the PAINTING Department reported the following data. Beginning WIP consisted of 40,500 units, 95% complete with respect to direct labor and overhead. Costs in the beginning inventory included prime cost, P15,000; applied overhead P12,110 and transferred-in, P31,500. Costs added to production during the month were direct materials, P72,900; direct labor P64,880; transferred-in, P102,060. Overhead was assigned using the following information: Activity Inspection Actual Driver Usage 3,000 inspection hours 1,200 maintenance hours Rate P7.50 per inspection hour P12 per maintenance hour P10 per receiving order Maintenance Receiving 1,000 recciving orders At the end of the month, 121,500 units were transferred out to the Finished Goods Inventory, leaving 13,500 units in the ending work in process, 25% to complete. Units are inspected when they are 90% converted afterwards paints are added. The company is using first-in-first out method.
Compute the total cost of the units-in-process inventory at the end of the<br>period.<br>JKL FABRICATORS Inc., manufactures frames to bicycles. Each frame passes through three<br>processes: CUTTING, WELDING & PAINTING. In July, the PAINTING Department reported<br>the following data.<br>Beginning WIP consisted of 40,500 units, 95% complete with respect to direct labor and<br>overhead. Costs in the beginning inventory included prime cost, P15,000; applied<br>overhead P12,110 and transferred-in, P31,500.<br>Costs added to production during the month were direct materials, P72,900; direct labor<br>P64,880; transferred-in, P102,060.<br>Overhead was assigned using the following information:<br>Activity<br>Inspection<br>Rate<br>P7.50 per inspection hour<br>P12 per maintenance hour<br>P10 per receiving order<br>Actual Driver Usage<br>3,000 inspection hours<br>1,200 maintenance hours<br>1,000 recciving orders<br>Maintenance<br>Receiving<br>At the end of the month, 121,500 units were transferred out to the Finished Goods<br>Inventory, leaving 13,500 units in the cending work in process, 25% to complete.<br>Units are inspected when they are 90% converted afterwards paints are added.<br>The company is using first-in-first out method.<br>

Extracted text: Compute the total cost of the units-in-process inventory at the end of the period. JKL FABRICATORS Inc., manufactures frames to bicycles. Each frame passes through three processes: CUTTING, WELDING & PAINTING. In July, the PAINTING Department reported the following data. Beginning WIP consisted of 40,500 units, 95% complete with respect to direct labor and overhead. Costs in the beginning inventory included prime cost, P15,000; applied overhead P12,110 and transferred-in, P31,500. Costs added to production during the month were direct materials, P72,900; direct labor P64,880; transferred-in, P102,060. Overhead was assigned using the following information: Activity Inspection Rate P7.50 per inspection hour P12 per maintenance hour P10 per receiving order Actual Driver Usage 3,000 inspection hours 1,200 maintenance hours 1,000 recciving orders Maintenance Receiving At the end of the month, 121,500 units were transferred out to the Finished Goods Inventory, leaving 13,500 units in the cending work in process, 25% to complete. Units are inspected when they are 90% converted afterwards paints are added. The company is using first-in-first out method.
Jun 10, 2022
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