Process Costing Quiz

A company has the following data for its production process in April:

• Beginning Inventory: 2,000 units (60% complete)

• Units Started: 10,000 units

• Ending Inventory: 1,500 units (30% complete)

• Units Completed: 10,500 units.

• Using the weighted average method, what are the equivalent units of production (EUP) for conversion costs?

• 10,950

• 11,450

• 11,250

• 10,650

Cost per Equivalent Unit – Weighted Average Method

Using the data from Question 1, assume the following cost details:

• Beginning Inventory Costs: $4,000 (Materials) + $6,000 (Conversion)

• Current Period Costs: $50,000 (Materials) + $80,000 (Conversion)

Using the weighted average method, what is the cost per equivalent unit for conversion costs?

• $6.96

• $7.27

• $7.50

• $7.85

Total Costs Assigned – FIFO Method

A company uses the FIFO method for process costing and has the following data:

• Beginning Inventory: 2,000 units (40% complete)

• Units Started: 8,000 units

• Ending Inventory: 1,500 units (20% complete)

• Costs in Beginning Inventory: $12,000

• Current Period Costs: $88,000

What are the total costs assigned to units completed and transferred out?

• $84,600

• $97,200

• $83,500

• $99,000

Physical Units – Weighted Average Method

A manufacturing company records the following data for a month:

• Beginning Inventory: 3,000 units

• Units Started: 12,000 units

• Ending Inventory: 4,000 units

How many units were completed and transferred out?

• 9,000

• 11,000

• 13,000

• 15,000

Equivalent Units of Production – FIFO Method

A company has the following production data:

• Beginning Inventory: 1,800 units (50% complete)

• Units Started: 9,500 units

• Ending Inventory: 2,300 units (40% complete)

Using the FIFO method, what are the equivalent units of production for conversion costs?

• 9,020

• 10,100

• 10,500

• 11,000