REVISION TOPIC 8 - PROCESS COSTING

Hanker Company had the following department data on physical units:

Work in process, beginning 3,000

Completed and transferred out 18,000

Work in process, ending 2,400

Materials are added at the beginning of the process. What is the total number of equivalent units for materials during the period?

• 18,600.

• 2,400.

• 20,400.

• 15,000.

Cinder Company had the following department information for the month:

Total materials costs RM60,000

Equivalent units of materials 10,000

Total conversion costs RM90,000

Equivalent units of conversion costs 20,000

How much is the total manufacturing cost per unit?

• RM10.50.

• RM5.00.

• RM4.50.

• RM6.00.

If 150,000 units are started into production there was no beginning work in process, and 50,000 units are in process at the end of the period, how many units were completed and transferred out?

• 150,000.

• 50,000.

• 100,000.

• 200,000.

A department adds raw materials to a process at the beginning of the process and incurs conversion costs uniformly throughout the process. For the month of January, there were no units in the beginning work in process inventory; 90,000 units were started into production in January; and there were 20,000 units that were 40% complete in the ending work in process inventory at the end of January. What were the equivalent units of production for conversion costs for the month of January?

• 70,000 equivalent units.

• 82,000 equivalent units.

• 78,000 equivalent units.

• 90,000 equivalent units.

Materials costs of RM600,000 and conversion costs of RM642,600 were charged to a processing department in the month of September. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. There were no units in beginning work in process, 100,000 units were started into production in September, and there were 8,000 units in ending work in process that were 40% complete at the end of September.

What was the total amount of manufacturing costs assigned to those units that were completed and transferred out of the process in September?

• RM552,000.

• RM1,173,000.

• RM1,242,600.

• RM1,275,600.

Charley Company’s Assembly Department has materials cost at RM2 per unit and conversion cost at RM4 per unit. There are 20,000 units in ending work in process, all of which are 70% complete as to conversion costs and 100% complete as to materials. How much are total costs to be assigned to ending inventory?

• RM56,000.

• RM96,000.

• RM84,000.

• RM120,000.

Byrd Company decided to analyze certain costs for June of the current year. Units started into production equaled 14,000 and ending work in process equaled 2,000 units. With no beginning work in process inventory, how much is the conversion cost per unit if ending work in process was 25% complete and total conversion costs equaled RM52,500?

• RM3.28.

• RM4.38.

• RM4.20.

• RM2.10.

A process began the month with 3,000 units in the beginning work in process inventory and ended the month with 2,000 units in the ending work in process. If 21,000 units were started into production during the month, how many units were completed and transferred out of the process during the month ?

• 21,000.

• 23,000.

• 22,000.

• 20,000.

Materials costs of RM1,200,000 and conversion costs of RM1,530,000 were charged to a processing department in the month of September. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. There were no units in beginning work in process, 20,000 units were started into production in September, and there were 5,000 units in ending work in process that were 40% complete at the end of September.

What was the total amount of manufacturing costs assigned to the 5,000 units in the ending work in process?

• RM682,500.

• RM750,000.

• RM480,000.

• RM300,000.

In the month of June, a department had 20,000 units in beginning work in process that were 70% complete. During June, 90,000 units were transferred into production from another department. At the end of June there were 10,000 units in ending work in process that were 40% complete. Materials are added at the beginning of the process, while conversion costs are incurred uniformly throughout the process. How many units were transferred out of the process in June?

• 90,000 units.

• 80,000 units.

• 100,000 units.

• 110,000 units.