Solution Exhibit 4.19 [AQ3] Step 4: Summarise total costs to account for and assign these costs to units completed and to units in closing work in progress using standard costs, Cooking Department of Telemark-Kjemi for June 2007 (in NKr). Total Transferred-in production costs Direct materials Conversion costs costs _________________________________________________________ Cost per Cost per Cost per Equivalent equivalent Total Equivalent equivalent Total Equivalent equivalent Total units unit costs units unit costs units unit costs (10)= (1) (2) (3)=(1)×(2) (4) (5) (6)=(4)×(5) (7) (8) (9)=(7)×(8) (3)+(6)+(9) Panel Ab Total costs to account for work in progress, opening 40 1,050 * 42,000 0 390 0 30 640 19,200 61,200 Work done in current period only 80 1,050 * 84,000 90 390 35,100 75 640 48,000 167,100 To account for 120 126,000 90 35,100 105 67,200 228,300 Panel B Assignment of costs Completed and transferred out (90 physical tonnes) 90 1,050 * 94,500 90 390 35,100 90 640 57,600 187,200 Work in progress closing (30 physical tonnes) 30 1,050 * 31,500 0 390 0 15 640 9,600 41,100 Accounted for 120 126,000 90 35,100 105 67,200 228,300
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