Business, 31.03.2020 02:07, awdadaddda
Baker Winery manufactures a fine wine in two departments, Fermenting and Bottling. In the Fermenting Department, grapes are aged in casks for a period of 30 days. In the Bottling Department, the wine is bottled then sent to the finished goods warehouse. Labor and overhead are incurred uniformly through both processes. Materials are entered at the begining of both processes. Cost and Production data for the fermenting Department for December 2010 are presented below:
Cost Data
Begining Work in process inventory $37,000 ($30,000 of material costs)
Materials $390,000
Conversion Costs $155,000
Total Costs $582,000
Production Costs
Begining work in process(gallons) 5,000 (40%)
Gallons started into production 55,000
Ending work in process(gallons) 8,000(25%)
Instructions: a) compute the equivalent units of production
b) Determine the unit production costs
c) Determine the costs to be assigned to units transferred out and ending work in process.
Answers: 3
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Baker Winery manufactures a fine wine in two departments, Fermenting and Bottling. In the Fermenting...
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