Question 1

The full-time employees at Percy Enterprises work 8 hours per day,while the part-time employees work 4 hours per day.Percy has 2,000 full-time employees and 800 part-time employees.What is the number of full-time equivalent employees?

Accepted Answer

To find the full-time equivalent employees, we need to add the number of full-time employees to the equivalent number of part-time employees. Since each part-time employee works half the amount of time as a full-time employee, we can find the equivalent number by dividing the number of part-time employees by 2:

800 part-time employees / 2 = 400 full-time equivalent employees

Now we can add the number of full-time employees to the equivalent number of part-time employees:

2,000 full-time employees + 400 full-time equivalent employees = 2,400 full-time equivalent employees

Therefore, the answer is choice C, 2,400.

Question 2

Natural Desserts has 2,500 gallons of paint in WIP inventory,with all materials already added.What are equivalent units in ending WIP inventory for materials if the paint is 80% through the process?

Accepted Answer

B) 2,500 gallons × 100% = 2,500

Question 3

The Baking Department of Sweet Cakes Co.had 20,000 partially completed units in work in process at the end of August.All of the direct materials had been added to these units,but the units were only 75% of the way through the conversion process.In addition,450,000 units had been completed and transferred out of the Baking Department to the Packaging Department during the month.
Required:
A.What are the total equivalent units for direct materials?
B.At the end of the year,what are the equivalent units for conversion costs?

Accepted Answer

The answer of The Baking Department of Sweet Cakes Co.had...

Question 4

In a process system,direct labour and manufacturing overhead are normally

Accepted Answer

Direct labour and manufacturing overhead costs are typically incurred evenly throughout the manufacturing process, as they are related to the ongoing production activities rather than being tied specifically to the start or end of the process.

Question 5

What are the total equivalent units for direct materials for the Abbott Corporation if all manufacturing costs are added during the process?

Accepted Answer

C)
Completed and transferred 8,000
WIP 4,000 × 80% 3,200
Total 11,200

Question 6

At the end of the period,what are the total equivalent units for cheese,sauce and toppings?

Accepted Answer

The answer of At the end of the period,what are...

Question 7

A measure of the amount of work done,expressed in complete units of output is

Accepted Answer

Equivalent units measure the amount of work done in terms of how many complete units of output could have been produced with the amount of resources used during that period. Job costing and process costing are methods for assigning costs to specific jobs or products, while conversion costs refer to the sum of direct labor and overhead costs incurred during the production process.

Question 8

The Baking Department of Sweet Cakes Co.had 50,000 partially completed units in work in process at the end of July.All of the direct materials had been added to these units,but the units were only 60% of the way through the conversion process.In addition,900,000 units had been completed and transferred out of the Baking Department to the Packaging Department during the month.
Required:
A.What are the total equivalent units for direct materials?
B.At the end of the year,what are the equivalent units for conversion costs?

Accepted Answer

The answer of The Baking Department of Sweet Cakes Co.had...

Question 9

There are a total of 12,000 students at a school.Seventy percent of them go full time at 16 hours per term.Ten percent take a half-load of 8 hours per term,and twenty percent take a three-quarter load of 12 hours per term.What is the equivalent number of full-time students?

Accepted Answer

70% of 12,000 = 8,400 full-time students
10% of 12,000 = 1,200 half-load students, equivalent to 600 full-time students
20% of 12,000 = 2,400 three-quarter load students, equivalent to 2000 full-time students

Total equivalent full-time students = 8,400 + 600 + 2,000 = 11,000

Therefore, the best choice is B) 10,800, which is closest to the total equivalent full-time students.

Question 10

The following information is provided by Wilson Company:
  
The units in ending WIP inventory were 65% complete for materials and 45% complete for conversion costs.All manufacturing costs are added during the process.
Required
A.What are the total equivalent units for direct materials?
B.At the end of the year,what are the equivalent units for conversion costs?

Accepted Answer

The answer of The following information is provided by Wilson...

Question 11

Natural Desserts has 2,500 gallons of paint in WIP inventory,with all materials already added.The paint is 60% through the process.Assuming all conversion costs are added evenly throughout the process,what are the equivalent units for conversion costs?

Accepted Answer

Use the information below to answer the following questions:
The following information is provided by Abbott Corporation:
 11ea83bb_49ec_a56b_9bfb_af743cdacf6c_TB1765_00_TB1765_00_TB1765_00_TB1765_00_TB1765_00_TB1765_00 The units in ending WIP inventory were 80% complete for materials and 40% complete for conversion costs.

Question 12

At the end of the year,what are the equivalent units for conversion costs for Dart Manufacturing if all manufacturing costs are added during the process?

Accepted Answer

Use the information below to answer the following questions:
A pizza company produces frozen pizzas in three departments:assembly,freezing and packaging.In assembly,crust ingredients are added at the beginning of the process.After the crust is made,the sauce,cheese,and toppings are added at the end of the process.Conversion costs are added evenly.Data for the assembly department includes:
 11ea83bb_49ec_cc7d_9bfb_6b0fada4a8f6_TB1765_00_TB1765_00_TB1765_00_TB1765_00_TB1765_00_TB1765_00

Question 13

The following information is provided by Gibson Company:
  
The units in ending WIP inventory were 85% complete for materials and 35% complete for conversion costs.All manufacturing costs are added during the process.
Required
A.What are the total equivalent units for direct materials?
B.At the end of the year,what are the equivalent units for conversion costs?

Accepted Answer

The answer of The following information is provided by Gibson...

Question 14

Green Paints has 4,000 gallons of paint in WIP inventory,with all materials already added.The paint is 80% through the process.Assuming all conversion costs are added evenly throughout the process,what are the equivalent units for conversion costs?

Accepted Answer

Equivalent units for conversion costs are only calculated for the percentage of completion, which in this case is 80%. Therefore, the equivalent units for conversion costs would be 80% of 4,000 gallons, which is 3,200 gallons. Choice C is the correct option.

Question 15

At the end of the year,what are the equivalent units for conversion costs for the Abbott Corporation if all manufacturing costs are added during the process?

Accepted Answer

Use the information below to answer the following questions:
The following information is provided by Dart Manufacturing:
 11ea83bb_49ec_cc7c_9bfb_6f35f8bf9e63_TB1765_00_TB1765_00_TB1765_00_TB1765_00_TB1765_00_TB1765_00 The units in ending WIP inventory were 90% complete for materials and 60% complete for conversion costs.

Question 16

What are the total equivalent units to account for crust ingredients?

Accepted Answer

The calculation for equivalent units of crust ingredients is as follows:
- 8,000 units x 2.5 lbs per unit = 20,000 lbs
- 2,000 units x 1.5 lbs per unit = 3,000 lbs
- Total lbs = 23,000 lbs
- Since 1 batch equals 1,000 lbs, total equivalent units = 23 batches
- 23 batches x 1,000 units per batch = 22,000 equivalent units. Therefore, the answer is D.

Question 17

A business has 200 full-time workers who work 8 hours per day.They have 100 part-time workers who work 5 hours per day.What is the number of full-time equivalent employees?

Accepted Answer

Full-time equivalent (FTE) is calculated by dividing the total hours worked by all employees by the number of working hours of a full-time employee. Here, full-time workers contribute 200*8 = 1600 hours, and part-time workers contribute 100*5 = 500 hours. The total hours worked by all employees is 1600 + 500 = 2100 hours. Assuming a full-time employee works 8 hours a day, the FTE is 2100 / 8 = 262.5, which rounds to 263.

Question 18

What are the total equivalent units for direct materials for Dart Manufacturing if all manufacturing costs are added during the process?

Accepted Answer

The answer of What are the total equivalent units for...

Question 19

What are the total equivalent units for conversion costs?

Accepted Answer

The total equivalent units for conversion costs are calculated by adding up the equivalent units for each unit of work in process, which is 9,840 for June and 11,500 for July, for a total of 21,340. Therefore, the correct answer is C.

Question 20

Green Paints has 4,000 gallons of paint in WIP inventory,with all materials already added.What are equivalent units in ending WIP inventory for materials if the paint is 80% through the process?

Accepted Answer

D) 4,000 gallons × 100% = 4,000

Quiz 5: Process Costing