Kali Manufacturing Inc

Kali Manufacturing Inc

Question

Here is your graded assignment for Week 2. There are two problems to complete, worth 10 points each. The full assignment is worth 20 points.

You may want to work several of the exercises from our chapter readings this week to start. In addition, work several problems from this week's chapters in the gradedWorkout Room thread before attempting the Homework assignments. We will review several problems throughout the week in the workout room.

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Please DO NOT click on the Begin Homework button below until you are ready to answer ALL questions, and please SHOW all your work when applicable!

Problem 1:

Kali Manufacturing Inc. began the year with the following.

Units
Beginning work-in-process20,00020% complete
Transferred to finished goods60,000
Ending inventory10,00070% complete

Materials added at the beginning of the process

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Required

Calculate the equivalent units for

  1. material costs under the weighted average process cost method;
  2. conversion costs under the weighted average process cost method;
  3. material costs under the FIFO process cost method; and
  4. conversion costs under the FIFO process cost method.

Problem 2:

Glass Company manufactures a product through a continuous single-step process. All materials are added at the beginning of processing. Production and cost data for the company for the current month are as follows.

Production Dataunits
In process, beginning of month (20% converted)2000
Started during current month8000
Completed and transferred to finished goods5500
In process, end of month (60% converted)2500
Manufacturing Costs
Work in process, beginning$21,450
Materials$54,000
Direct labor cost$105,000
Factory overhead cost$42,840