Cost Accounting, 14e, Chapter 4 Solutions

Chapter 4 Process Costing
Chapter 4
Process Costing
Solutions to Questions
4-1
A process costing system should be used in situations where a homogeneous product is produced on a continuous basis.
4-2
Job-order and processing costing are similar in the following ways:
1. Job-order costing and process costing have the same basic purposesto assign materials, labor, and overhead cost to products and to
provide a mechanism for computing unit product costs.
2. Both systems use the same basic manufacturing accounts.
3. Costs flow through the accounts in basically the same way in both systems.
4-3
Cost accumulation is simpler under process costing because costs only need to be assigned to departmentsnot individual jobs. A
company usually has a small number of processing departments, whereas a job-order costing system often must keep track of the costs of
hundreds or even thousands of jobs.
4-4
In a process costing system, a Work in Process account is maintained for each processing department.
4-5
The journal entry to record the transfer of work in process from the Mixing Department to the Firing Department is:
Work in Process, Firing........ XXXX
XXXX
Work in Process, Mixing
4-6
The costs that might be added in the Firing Department include: (1) costs transferred in from the Mixing Department; (2) materials costs
added in the Firing Department; (3) labor costs added in the Firing Department; and (4) overhead costs added in the Firing Department.
4-7
Under the weighted-average method, equivalent units of production consist of units transferred to the next department (or to finished
goods) during the period plus the equivalent units in the departments ending work in process inventory.
4-8
The company will want to distinguish between the costs of the metals used to make the medallions, but the medals are otherwise identical
and go through the same production processes. Thus, operation costing is ideally suited for the companys needs.
4-1
Exercise 4-1 (20 minutes)

a. To record issuing raw materials for use in production:
4-2
Work in ProcessMolding Department

Work in ProcessFiring Department
Raw Materials
33,000
b. To record direct labor costs incurred:
Wages Payable
23,000
c. To record applying manufacturing overhead:
Manufacturing Overhead
28,000
5,000
18,000
5,000
24,000
37,000
61,000
d. To record transfer of unfired, molded bricks from the Molding Department to the Firing Department:
67,000
67,000
e. To record transfer of finished bricks from the Firing Department to the finished goods warehouse:
Finished Goods
108,000
108,000
f. To record Cost of Goods Sold:
Cost of Goods Sold
106,000
Finished Goods
106,000
4-3

Weighted-Average Method
Units transferred out ........................................

Work in process, ending:
30,000 units 70%........................................
30,000 units 50%........................................
Equivalent units of production..........................
Equivalent Units
Materials Conversion
410,000
410,000
21,000
431,000
4-4
15,000
425,000

1.
Materials
Cost of beginning work in process
inventory......................................
Cost added during the period.........
Total cost (a)...................................
Labor
$ 14,550 $ 23,620
88,350
14,330
$102,900 $37,950
Equivalent units of production (b).. .

Cost per equivalent unit (a) (b)....
1,200
$85.75
1,100
$34.50
2.
Cost per equivalent unit for materials......
Cost per equivalent unit for labor.............
Cost per equivalent unit for overhead......
Total cost per equivalent unit...................
$ 85.75
34.50
172.50
$292.75
4-5
Overhead
$118,100
71,650
$189,750
1,100
$172.50

Ending work in process inventory:

Equivalent units of production....................
Cost per equivalent unit.............................
Cost of ending work in process inventory. .
Units completed and transferred out:
Units transferred to the next department. . .
Cost per equivalent unit.............................
Cost of units transferred out......................
Material
s
Conversio
n
300
$31.56
100
$9.32
$9,468
$932
1,300
$31.56
1,300
$9.32
$41,028
4-6
$12,116
Total
$10,40
0
$53,14
4

Baking Department
Cost Reconciliation
Costs to be accounted for:
Cost of beginning work in process inventory. . $ 4,830
Costs added to production during the period. . 25,650
Total cost to be accounted for......................... $30,480
Costs accounted for as follows:
Cost of ending work in process inventory....... $ 1,120
Cost of units completed and transferred out... 29,360 *
Total cost accounted for.................................. $30,480
*The cost of units completed and transferred out can be deduced as follows:
Cost of beginning
Costs added
Cost of ending
Cost of units
work in process + to production = work in process+ completed and
inventory
during the period
inventory
transferred out
Cost of units
$4,830 + $25,650 = $1,120 + completed and
transferred out
Cost of units
completed and = $4,830 + $25,650 - $1,120
transferred out
Cost of units
completed and = $29,360
transferred out
4-7

1.
Units transferred to the next
department.........................................
Materials:
50,000 units 60% complete..........
Labor and overhead:
50,000 units 20% complete..........
Equivalent units of production...............
Materials
Labor
790,000
790,000 790,000
2.
Materials
Labor Overhead
$68,600 $30,000 $48,000
907,200 370,000 592,000
$975,800 $400,000 $640,000
Cost of beginning work in process....

Cost added during the period............
Total cost (a).....................................
Equivalent units of production (b)......
Cost per equivalent unit (a) (b).......
Overhead
30,000
10,000 10,000
800,000 800,000
820,000
820,000
$1.19
800,000
$0.50
4-8
800,000
$0.80

1. Equivalent units of production
Pulping
Conversio
n
146,000
146,000
Transferred to next department..........................

Ending work in process:
Pulping: 6,000 units x 100% complete.............
Conversion: 6,000 units x 75% complete.........
Equivalent units of production............................
6,000
152,000
4,500
150,500
2. Cost per equivalent unit

Pulping
Cost of beginning work in process..................
Cost added during the period.........................
Total cost (a)...................................................
Equivalent units of production (b)...................
Cost per equivalent unit, (a) (b)...................
$ 1,500
59,300
$60,800
152,000
$0.40
Conversio
n
$ 400
22,100
$22,500
150,500
$0.1495
3. Cost of ending work in process inventory and units transferred out

Pulping Conversio
Total
n
Equivalent units of production...
6,000
4,500
Cost per equivalent unit............
$0.40
$0.1495
Cost of ending work in process
$2,400
$673
$3,073
4-9
inventory.................................
department..............................
146,000
$0.40
Cost of units completed and
transferred out.........................
$58,400
4-10
146,000
$0.1495
$21,827
$80,227
Exercise 4-7 (continued)

4. Cost reconciliation
Cost of beginning work in process inventory
($1,500 + $400)............................................
Costs added to production during the period
($59,300 + $22,100).....................................
Total cost to be accounted for.........................
Cost of ending work in process inventory.......
Cost of units completed and transferred out...
Total cost accounted for..................................
4-11
$ 1,900
81,400
$83,300
$ 3,073
80,227
$83,300

Work in ProcessMixing
Raw Materials Inventory
330,000
Work in ProcessBaking
Wages Payable
260,000
120,000
190,000
90,000
760,000
Finished Goods
980,000
330,000
380,000
280,000
760,000
980,000
4-12

1. Computation of equivalent units in ending inventory:
Materials
Units in ending inventory...........
1,500
Percent completed....................
90%
Equivalent units of production. . .
1,350
Labor Overhead
1,500
1,500
40%
40%
600
600
2. Cost of ending work in process inventory and units transferred out:

Materials
Equivalent units of
production....................
1,350
Cost per equivalent unit.
$24.00
Cost of ending work in
process inventory........
$32,400
Labor
Overhea
d
600
$7.00
600
$14.00
$4,200
$8,400
Total
$45,000

Units transferred to the
next department..........
18,000
18,000
18,000
Cost per equivalent unit.
$24.00
$7.00
$14.00
Cost of units completed
and transferred out...... $432,000 $126,000 $252,000 $810,000
3. Cost reconciliation:
4-13
Total cost to be accounted for.............................

4-14
$855,000
$ 45,000
810,000
$855,000

1.
Work in process, May 1...............................................
Started into production during the month....................
Total kilograms in process...........................................
Deduct work in process, May 31.................................
Completed and transferred out during the month........
2.
Kilograms of
Cement
80,000
300,000
380,000
50,000
330,000
Equivalent Units (EU)

Materials Conversion
Units transferred out.................................... 330,000
330,000
Materials: 50,000 kilograms 40%..........
20,000
Conversion: 50,000 kilograms 10%.......
5,000
Equivalent units of production..................... 350,000
335,000
4-15

1.
Units transferred to the next process................
Materials: 40,000 units 50% complete........
Conversion: 40,000 units 25% complete....
2.
Cost of beginning work in process...................
Cost added during the period...........................
Total cost (a)....................................................
Equivalent units of production (b).....................
Cost per equivalent unit (a) (b)......................
3.
Materials
Equivalent units of production
(see above)..........................
20,000
Cost per equivalent unit (see
above)..................................
$1.38
inventory...............................
$27,600
Material Conversio
s
n
300,000 300,000
20,000
320,000
10,000
310,000
Material Conversio
s
n
$ 56,600 $ 14,900
385,000
214,500
$441,600 $229,400
320,000
310,000
$1.38
$0.74
Conversio
n
Total
10,000
$0.74
$7,400
4-16
$35,000

process.................................
300,000
Cost per equivalent unit
(see previous exercise)........
$1.38
transferred out...................... $414,000
300,000
$0.74
$222,000
4-17
$636,000

Material Labor &
s
Overhead
Pounds transferred to the Packing Department
during May*...........................................................
Work in process, May 31:
Materials: 20,000 pounds 100% complete.........
Labor and overhead: 20,000 pounds 90%
complete............................................................
Equivalent units of production.................................
490,000
490,000
20,000
510,000
18,000
508,000
* 30,000 + 480,000 20,000 = 490,000

Problem 4-13 (45 minutes)
1. Equivalent Units of Production
Material Conversio
s
n
Transferred to next department*........................ 380,000
380,000
Materials: 40,000 units x 75% complete..........
30,000
Conversion: 40,000 units x 25% complete.......
10,000
Equivalent units of production............................ 410,000
390,000
*Units transferred to the next department = Units in beginning work in process + Units started into
4-18
production Units in ending work in process = 70,000 + 350,000 40,000 = 380,000

2. Cost per Equivalent Unit
Materials
Cost of beginning work in process.................. $ 86,000
447,000
Total cost (a)................................................... $533,000
410,000
$1.30
Conversio
n
$ 36,000
198,000
$234,000
390,000
$0.60
3. Cost of Ending Work in Process Inventory and Units Transferred Out
4-19
Materials
Conversio
n

(materials: 40,000 units x 75%
complete; conversion: 40,000
units x 25% complete).........
30,000
Cost per equivalent unit.........
$1.30
inventory..............................
$39,000
department..........................
380,000
$1.30
transferred out.....................
$494,000
4-20
Total
10,000
$0.60
$6,000
$45,000
380,000
$0.60
$228,000
$722,000
Problem 4-13 (continued)

4. Cost Reconciliation
($86,000 + $36,000).....................................
($447,000 + $198,000).................................
4-21
$122,000
645,000
$767,000
$ 45,000
722,000
$767,000

1. Equivalent Units of Production
Material Conversio
s
n
Transferred to next department.......................... 450,000
450,000
Materials: 80,000 units x 75% complete..........
60,000
20,000
470,000
2. Cost per Equivalent Unit
Materials
391,850
Total cost (a)................................................... $428,400
510,000
$0.84
Conversio
n
$ 13,500
287,300
$300,800
470,000
$0.64
3. Applying Costs to Units

Materials
Conversio
n
60,000
$0.84
$50,400
20,000
$0.64
$12,800
4-22
Total
$63,200
inventory..............................
department..........................
450,000
$0.84
transferred out.....................
$378,000
4-23
450,000
$0.64
$288,000
$666,000

4. Cost Reconciliation
($36,550 + $13,500).....................................
($391,850 + $287,300).................................
$ 50,050
679,150
$729,200
$ 63,200
666,000
$729,200

1. Equivalent units of production
Material Conversio
s
n
Transferred to next department*........................ 270,000
270,000
Materials: 45,000 units x 100% complete........
45,000
27,000
297,000
*Units transferred to the next department = Units in beginning work in process + Units started into
production Units in ending work in process = 35,000 + 280,000 45,000 = 270,000
4-24
2. Cost per equivalent unit

Materials
397,600
Total cost (a)................................................... $441,000
315,000
$1.40
Conversio
n
$ 20,300
187,600
$207,900
297,000
$0.70
3. Cost of ending work in process inventory and units transferred out

Materials Conversio
Total
n
4-25

Equivalent units of production...
45,000
$1.40
inventory.................................
$63,000
department..............................
270,000
$1.40
transferred out......................... $378,000
4-26
27,000
$0.70
$18,900
$81,900
270,000
$0.70
$189,000
$567,000

1.
a.
b.
c.
d.
e.
g.
Work in ProcessBlending
Work in ProcessBottling
Raw Materials
Salaries and Wages Payable
147,600
45,000
192,600
73,200
17,000
90,200
Accounts Payable
596,000
481,000
722,000
Finished Goods
920,000
Accounts Receivable
Sales
Cost of Goods Sold
Finished Goods
596,000
481,000
108,000
108,000
722,000
920,000
1,400,000
1,400,000
890,000
890,000
4-27

2.
(g)
Accounts Receivable
1,400,000
Bal.
(a)
(b)
(d)
Bal.
Work in Process
Blending Department
32,800 (e)
722,000
147,600
73,200
481,000
12,600
Bal.
(f)
Bal.
Finished Goods
20,000 (g)
890,000
920,000
50,000
(c)
596,000 (d)
589,000
Bal.
7,000
Accounts Payable
(c)
596,000
Salaries and Wages Payable

(b)
90,200
Sales
(g)
1,400,000
Bal.
Bal.
Raw Materials
198,600 (a)
192,600
6,000
Bal.
(a)
(b)
(d)
(e)
Bal.
Work in Process
Bottling Department
49,000 (f)
920,000
45,000
17,000
108,000
722,000
21,000
(g)
Cost of Goods Sold

890,000

4-28
1. Computation of equivalent units in ending inventory:
Mixing
Units transferred to the next department..........
Mixing: 1 unit 100% complete..................
Materials: 1 unit 20% complete................
Conversion: 1 unit 10% complete.............
60.0
Materials
60.0
Conversio
n
60.0
1.0
0.2
61.0
60.2
0.1
60.1
2. Costs per equivalent unit:

Mixing
Cost of beginning work in process inventory....
Cost added during the period...........................
Total cost..........................................................
Cost per equivalent unit....................................
$ 1,640
94,740
$96,380
61.0
$1,580
4-29
Materials
$ 26
8,402
$8,428
60.2
$140
Conversio
n
$ 105
61,197
$61,302
60.1
$1,020

3. Costs of ending work in process inventory and units transferred out:
Mixing
Equivalent units of production.....................
Cost per equivalent unit...............................
Cost of ending work in process inventory....
Units transferred to the next department.....
Cost per equivalent unit...............................
Cost of units transferred out........................
Materials
1.0
$1,580
$1,580
0.2
$140
$28
60.0
$1,580
$94,800
60.0
$140
$8,400
4. Cost reconciliation:
Cost to be accounted for:
($1,640 + $26 + $105)..................................
Cost added to production during the period
($94,740 + $8,402 + $61,197)......................
Cost of units transferred out...........................
4-30
$ 1,771
164,339
$166,110
$ 1,710
164,400
$166,110
Conversio
n
0.1
$1,020
$102
Total
$1,710
60.0
$1,020
$61,200 $164,400

1. Total units transferred to the next department....
Less units in the May 1 inventory........................
Units started and completed in May....................
30,000
5,000
25,000
2. The equivalent units were:

Material Conversio
s
n
Transferred to next department....................
30,000
30,000
Materials: 4,000 units x 75% complete......
3,000
Conversion: 4,000 units x 50% complete...
2,000
Equivalent units of production......................
33,000
32,000
3. The costs per equivalent unit were:
Materials
Cost of beginning work in process..................
Total cost (a)...................................................
9,000
57,000
66,000
33,000
2.00
Conversio
n
4,400
30,800
35,200
32,000
1.10
4. The ending work in process figure is verified as follows:

Material Conversio
s
n
(see above)....................................
3,000
2,000
Cost per equivalent unit...................
2.00
1.10
inventory........................................
6,000
2,200
Total
8,20
0
5. Multiplying the unit cost figure of 3.10 per unit by 1,000 units does not
provide a valid estimate of the incremental cost of processing an
additional 1,000 units through the department. If there is sufficient idle
capacity to process an additional 1,000 units, the incremental cost per
4-31
unit is almost certainly less than 3.10 per unit because the conversion
costs are likely to include fixed costs.
4-32
Case 4-19 (90 minutes)

This case is difficultparticularly part 3, which requires analytical skills.
Because there are no beginning inventories, it makes no difference
whether the weighted-average or FIFO method is used by the company.
You may choose to specify that the FIFO method be used rather than
the weighted-average method.
1. Computation of the Cost of Goods Sold:
Units completed and sold........................
Transferred in:
20,000 units x 100% complete............
Conversion:
20,000 units x 25% complete..............
Equivalent units of production..................
Cost of beginning work in process...........

Cost added during the period..................
Total cost (a)............................................
Equivalent units of production (b)............
Cost per equivalent unit, (a) (b)............
Transferred
In
250,000
Conversion
250,000
20,000
270,000
5,000
255,000
Transferred
In
Conversion
$
0 $
0
49,221,000 16,320,000
$49,221,000 $16,320,000
270,000
255,000
$182.30
$64.00
Cost of goods sold = 250,000 units ($182.30 + $64.00) per unit =

$61,575,000.
2. The estimate of the percentage completion of ending work in process
inventories affects the unit costs of finished goods and therefore the cost
of goods sold. Thad Kostowski would like the estimated percentage
completion of the ending work in process to be increased. The higher
the percentage of completion of ending work in process, the higher the
equivalent units for the period and the lower the unit costs.
3. Increasing the percentage of completion can increase net operating
income by reducing the cost of goods sold. To increase net operating
income by $62,500, the cost of goods sold would have to be decreased
4-33
by $62,500 from $61,575,000 down to $61,512,500. See the next page

for the necessary calculations.
4-34
Case 4-19 (continued)

The percentage of completion, X, affects the cost of goods sold by its
effect on the unit cost, which can be determined as follows:
Unit cost = $182.30 +
$16,320,000
250,000 + 20,000X
And the cost of goods sold can be computed as follows:

Cost of goods sold = 250,000 Unit cost
Because the cost of goods sold must be reduced down to $61,512,500,
the unit cost must be $246.05 ($61,512,500 250,000 units). Thus, the
required percentage completion, X, to obtain the $62,500 reduction in
cost of goods sold can be found by solving the following equation:
$182.30 +
$16,320,000
= $246.05
250,000 + 20,000X
$16,320,000
= $246.05 - $182.30
250,000 + 20,000X
$16,320,000
= $63.75
250,000 + 20,000X
250,000 + 20,000X
1
=
$16,320,000
$63.75
250,000 + 20,000X =
$16,320,000
$63.75
250,000 + 20,000X = 256,000

20,000X = 256,000 - 250,000
20,000X = 6,000 X =
6,000
= 30%
20,000
Thus, changing the percentage completion to 30% will decrease cost

of goods sold and increase net operating income by $62,500 as verified
on the next page.
4-35

3. (continued)
Computation of the Cost of Goods Sold:
Units completed and sold........................
Transferred in:
20,000 units x 100% complete............
Conversion:
20,000 units x 30% complete..............
Equivalent units of production..................
Cost of beginning work in process...........

Cost added during the period..................
Total cost (a)............................................
Equivalent units of production (b)............
Cost per equivalent unit, (a) (b)............
Transferred
In
250,000
Conversion
250,000
20,000
270,000
6,000
256,000
Transferred
In
Conversion
$
0 $
0
49,221,000 16,320,000
$49,221,000 $16,320,000
270,000
256,000
$182.30
$63.75
Cost of goods sold = 250,000 units ($182.30 per unit + $63.75 per
unit) = $61,512,500.
4. Carol is in a very difficult position. Collaborating with Thad Kostowski in
subverting the integrity of the accounting system is unethical by almost
any standard. To put the situation in its starkest light, Kostowski is
suggesting that the production managers lie in order to get their bonus.
Having said that, the peer pressure to go along in this situation may be
intense. It is difficult on a personal level to ignore such peer pressure.
Moreover, Carol probably prefers not to risk alienating people she might
need to rely on in the future. On the other hand, Carol should be careful
not to accept at face value Kostowskis assertion that all of the other
managers are doing as much as they can to pull this bonus out of the
hat. Those who engage in unethical or illegal acts often rationalize their
own behavior by exaggerating the extent to which others engage in the
same kind of behavior. Other managers may actually be very
uncomfortable pulling strings to make the target profit for the year.
4-36

From a broader perspective, if the net profit figures reported by the
managers in a division cannot be trusted, then the company would be
foolish to base bonuses on the net profit figures. A bonus system based
on divisional net profits presupposes the integrity of the accounting
system.
The company should perhaps reconsider how it determines the bonus. It
is quite common for companies to pay an all or nothing bonus
contingent on making a particular target. This inevitably creates powerful
incentives to bend the rules when the target has not quite been attained.
It might be better to have a bonus without this all or nothing feature.
For example, managers could be paid a bonus of x% of profits above
target profits rather than a bonus that is a preset percentage of their
base salary. Under such a policy, the effect of adding that last dollar of
profits that just pushes the divisional net profits over the target profit will
add a few pennies to the managers compensation rather than
thousands of dollars. Therefore, the incentives to misstate the net
operating income are reduced. Why tempt people unnecessarily?
4-37
Case 4-20 (45 minutes)

1. The revised computations follow:
Equivalent Units of Production:
Transferred
In
Transferred to next department..........................
100,000
Transferred in: 5,000 units x 100% complete...
5,000
Materials: 5,000 units x 0% complete..............
Conversion: 5,000 units x 40% complete.........
Equivalent units of production............................
105,000
Materials
100,000
Conversio
n
100,000
0
100,000
2,000
102,000
Cost per Equivalent Unit:

Cost of beginning work in process....................
Cost added during the period............................
Total cost (a).....................................................
Equivalent units of production (b)......................
Cost per equivalent unit, (a) (b)......................
Transferred
In Costs
$8,820
81,480
$90,300
105,000
$0.86
4-38
Materials
$3,400
27,600
$31,000
100,000
$0.31
Conversio
n
$10,200
96,900
$107,100
102,000
$1.05

Transferred
In Costs
Equivalent units of production (see above). .
Cost per equivalent unit................................
Cost of ending work in process inventory.....
Units transferred to the next department
Cost per equivalent unit................................
Cost of units completed and transferred out.
Materials
Conversio
n
Total
5,000
$0.86
$4,300
0
$0.31
$0
2,000
$1.05
$2,100
$6,400
100,000
$0.86
$86,000
100,000
$0.31
$31,000
100,000
$1.05
$105,000
$222,000
2. The unit cost computed above is $2.22 (= $0.86 + $0.31 + $1.05) versus $2.284 on the original
report. The unit cost on the report prepared by the accountant is high because none of the cost
incurred during the month was assigned to the units in the ending work in process inventory.
4-39

Cost Accounting, 14e, Chapter 4 Solutions

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Cost Accounting, 14e, Chapter 4 Solutions

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Chapter 4 Process Costing

Chapter 4 Process Costing

Exercise 4-1 (20 minutes)

Chapter 4 Process Costing

Work in ProcessMolding Department

Chapter 4 Process Costing

Exercise 4-2 (10 minutes)

Units transferred out ........................................

Chapter 4 Process Costing

Exercise 4-3 (10 minutes)

Equivalent units of production (b).. .

Chapter 4 Process Costing

Exercise 4-4 (10 minutes)

Ending work in process inventory:

Chapter 4 Process Costing

Exercise 4-5 (10 minutes)

Chapter 4 Process Costing

Exercise 4-6 (15 minutes)

Cost of beginning work in process....

Chapter 4 Process Costing

Exercise 4-7 (30 minutes)

Transferred to next department..........................

2. Cost per equivalent unit

3. Cost of ending work in process inventory and units transferred out

Chapter 4 Process Costing

Chapter 4 Process Costing

Exercise 4-7 (continued)

Chapter 4 Process Costing

Exercise 4-8 (10 minutes)

Chapter 4 Process Costing

Exercise 4-9 (20 minutes)

2. Cost of ending work in process inventory and units transferred out:

Units completed and transferred out:

Chapter 4 Process Costing

Total cost to be accounted for.............................

Chapter 4 Process Costing

Exercise 4-10 (10 minutes)

Equivalent Units (EU)

Chapter 4 Process Costing

Exercise 4-11 (30 minutes)

Chapter 4 Process Costing

Units completed and transferred out:

Chapter 4 Process Costing

Exercise 4-12 (10 minutes)

* 30,000 + 480,000 20,000 = 490,000

Chapter 4 Process Costing

production Units in ending work in process = 70,000 + 350,000 40,000 = 380,000

3. Cost of Ending Work in Process Inventory and Units Transferred Out

Chapter 4 Process Costing

Ending work in process inventory:

Chapter 4 Process Costing

Problem 4-13 (continued)

Chapter 4 Process Costing

Problem 4-14 (45 minutes)

3. Applying Costs to Units

Chapter 4 Process Costing

Chapter 4 Process Costing

Problem 4-14 (continued)

Problem 4-15 (45 minutes)

Chapter 4 Process Costing

2. Cost per equivalent unit

3. Cost of ending work in process inventory and units transferred out

Chapter 4 Process Costing

Ending work in process inventory: