ACCT 2102 process costing / Determine the equivalent units of production


Question Description:

20

ACCT 2102 process costing / Determine the equivalent units of production 1 answer below » View complete question » Fairfax Company uses weighted-average process costing to account for its production costs. Direct labor is added evenly throughout the process.
Direct materials are added at the beginning of the process. During September, the company transferred 735,000 units of product to finished
goods. At the end of September, the goods in process inventory consists of 207,000 units that are 90% complete with respect to labor. Beginning
inventory had $244,920 of direct materials and $69,098 of direct labor cost. The direct labor cost added in September is $1,312,852, and the
direct materials Fairfax Company uses weighted-average process costing to account for its production costs. Direct labor is added evenly throughout the process.
Direct materials are added at the beginning of the process. During September, the company transferred 735,000 units of product to finished
goods. At the end of September, the goods in process inventory consists of 207,000 units that are 90% complete with respect to labor. Beginning
inventory had $244,920 of direct materials and $69,098 of direct labor cost. The direct labor cost added in September is $1,312,852, and the
direct materials cost added is $1,639,080. (a) Compute both direct labor cost and direct materials cost assigned to units completed and transferred out (b) Compute both direct labor cost and direct materials cost assigned to ending goods in process inventory View less » Dec 07 2013 12:57 AM

Answer

20