kalox inc manufactures 446932
Aug 29, 2021 | Uncategorized
| Kalox, Inc., manufactures an antacid product that passes through two departments. Data for May for the first department follow: |
|
Gallons |
Materials |
Labor |
Overhead |
| Work in process, May 1 |
76,000 |
$ |
68,400 |
$ |
30,200 |
$ |
41,900 |
| Gallons started in process |
719,000 |
|
|
|
|
|
|
| Gallons transferred out |
740,000 |
|
|
|
|
|
|
| Work in process, May 31 |
55,000 |
|
|
|
|
|
|
| Cost added during May |
|
$ |
904,725 |
$ |
372,370 |
$ |
517,225 |
|
|
The beginning work in process inventory was 90% complete with respect to materials and 75% complete with respect to labor and overhead. The ending work in process inventory was 70% complete with respect to materials and 10% complete with respect to labor and overhead.
|
| Assume that the company uses the weighted average method of accounting for units and costs. |
| 1. |
Compute the equivalent units for May%u2019s activity for the first department. |
|
Materials |
Labor |
Overhead |
| Equivalent units of production (Gallons) |
|
|
|
|
| 2. |
Determine the costs per equivalent unit for May. (Round your answers to 2 decimal places.) |
|
Materials |
Labor |
Overhead |
| Cost per equivalent unit |
$ |
$ |
$ |
