The following information concerns production in the Forging Department for September. All direct materials are placed into the process at the beginning of production, and conversion costs are incurred evenly throughout the process. The beginning inventory consists of $110,970 of direct materials. ACCOUNT Work in Process—Forging Department ACCOUNT NO. Date Item Debit Credit Balance Debit Credit Sept. 1 Bal., 8,100 units, 30% completed 119,232 30 Direct materials, 74,000 units 999,000 1,118,232 30 Direct labor 115,200 1,233,432 30 Factory overhead 159,095 ? 1,392,527 30 Goods finished, ? units ? 30 Bal., 6,500 units, 80% completed ? Based on the above data, determine each of the following amounts. If required, round your interim calculations to two decimal places. Round final answers (a-c) to the nearest dollar. a.  Cost of beginning work in process inventory completed in September. $ b.  Cost of units transferred to the next department during September. $ c.  Cost of ending work in process inventory on September 30. $ d.  Costs per equivalent unit of direct materials and conversion included in the September 1 beginning work in process. If required, round your answers to two decimal places. Direct materials cost per equivalent unit $ Conversion cost per equivalent unit $ e.  The September increase or decrease in costs per equivalent unit for direct materials and conversion from the previous month. If required, round your answers to two decimal places. Increase or Decrease Amount Change in direct materials cost per equivalent unit $ Change in conversion cost per equivalent unit $ Problem 2 Four Finger Appliance Company manufactures small kitchen appliances. The product line consists of blenders and toaster ovens. Four Finger Appliance presently uses the multiple production department factory overhead rate method. The factory overhead is as follows: 1 Assembly Department $158,760.00 2 Test and Pack Department 113,925.00 3 Total $272,685.00 The direct labor information for the production of 8,160 units of each product is as follows: Department Assembly Test and Pack Blender 675 dlh 2,440 dlh Toaster oven 2,265 815 Total 2,940 dlh 3,255 dlh Four Finger Appliance used direct labor hours (dlh) to allocate production department factory overhead to products. Complete the Multiple-Department Overhead Table for blenders. A. Determine the two production department factory overhead rates.* B. Determine the total factory overhead and the factory overhead per unit allocated to each product.* * If required, round all per-unit answers to the nearest cent. Blenders Activity Allocation- Base Activity Activity Usage X Rate = Cost Assembly Department  dlh  /dlh Test and Pack Department  dlh /dlh Total ÷ Units ÷ Factory overhead cost per unit Complete the Multiple-Department Overhead Table for toaster ovens. A. Determine the two production department factory overhead rates.* B. De ...

1. The following information concerns production in the Forging
Department for September. All direct materials are placed into
the process at the beginning of production, and conversion costs
are incurred evenly throughout the process. The beginning
inventory consists of $110,970 of direct materials.
ACCOUNT Work in Process—Forging Department
ACCOUNT NO.
Date
Item
Debit
Credit
Balance
Debit
Credit
Sept.
1
Bal., 8,100 units, 30% completed
119,232
30
Direct materials, 74,000 units
999,000
1,118,232

2. 30
Direct labor
115,200
1,233,432
30
Factory overhead
159,095
?
1,392,527
30
Goods finished, ? units
?
30
Bal., 6,500 units, 80% completed
?

3. Based on the above data, determine each of the following
amounts.
If required, round your interim calculations to two decimal
places. Round final answers (a-c) to the nearest dollar.
a. Cost of beginning work in process inventory completed in
September.
$
b. Cost of units transferred to the next department during
September.
$
c. Cost of ending work in process inventory on September 30.
$
d. Costs per equivalent unit of direct materials and conversion
included in the September 1 beginning work in process. If
required, round your answers to two decimal places.
Direct materials cost per equivalent unit
$
Conversion cost per equivalent unit
$
e. The September increase or decrease in costs per equivalent
unit for direct materials and conversion from the previous
month. If required, round your answers to two decimal places.
Increase or Decrease
Amount
Change in direct materials cost per equivalent unit
$
Change in conversion cost per equivalent unit
$

4. Problem 2
Four Finger Appliance Company manufactures small kitchen
appliances. The product line consists of blenders and toaster
ovens. Four Finger Appliance presently uses the multiple
production department factory overhead rate method. The
factory overhead is as follows:
1
Assembly Department
$158,760.00
2
Test and Pack Department
113,925.00
3
Total
$272,685.00
The direct labor information for the production of 8,160 units of
each product is as follows:
Department
Assembly
Test and Pack
Blender
675 dlh
2,440 dlh
Toaster oven

5. 2,265
815
Total
2,940 dlh
3,255 dlh
Four Finger Appliance used direct labor hours (dlh) to allocate
production department factory overhead to products.
Complete the Multiple-Department Overhead Table for
blenders.
A.
Determine the two production department factory overhead
rates.*
B.
Determine the total factory overhead and the factory overhead
per unit allocated to each product.*
* If required, round all per-unit answers to the nearest cent.
Blenders
Activity
Allocation-
Base
Activity
Activity

6. Usage
X
Rate
=
Cost
Assembly Department
dlh
/dlh
Test and Pack Department
dlh
/dlh
Total
÷ Units
÷
Factory overhead cost per unit
Complete the Multiple-Department Overhead Table for toaster
ovens.
A.

7. Determine the two production department factory overhead
rates.*
B.
Determine the total factory overhead and the factory overhead
per unit allocated to each product.*
* If required, round all per-unit answers to the nearest cent.
Toaster Ovens
Activity
Allocation-
Base
Activity
Activity
Usage
X
Rate
=
Cost
Assembly Department
dlh
/dlh

8. Test and Pack Department
dlh
/dlh
Total
÷ Units
÷
Factory overhead cost per unit
$
$
$
$
$
$
$
$

9. $
$
The following information concerns production in the Forging
Department for September. All direct materials are placed into
the process at
the beginning of production, and conversion costs are incurred
evenly throughout the process. The beginning inventory consists
of $110,970
of direct materials.
ACCOUNT Work in Process—Forging Department ACCOUNT
NO.
Date Item Debit Credit
Balance
Debit Credit
Sept. 1 Bal., 8,100 units, 30% completed 119,232
30 Direct materials, 74,000 units 999,000 1,118,232
30 Direct labor 115,200 1,233,432
30 Factory overhead 159,095 ? 1,392,527
30 Goods finished, ? units ?
30 Bal., 6,500 units, 80% completed ?

10. Based on the above data, determine each of the following
amounts.
If required, round your interim calculations to two decimal
places. Round final answers (a-c) to the nearest dollar.
a. Cost of beginning work in process inventory completed in
September.
$
b. Cost of units transferred to the next department during
September.
$
c. Cost of ending work in process inventory on September 30.
$
d. Costs per equivalent unit of direct materials and conversion
included in the September 1 beginning work in process. If
required, round

11. your answers to two decimal places.
Direct materials cost per equivalent unit
$
Conversion cost per equivalent unit
$
e. The September increase or decrease in costs per equivalent
unit for direct materials and conversion from the previous
month. If required,
round your answers to two decimal places.
Increase or Decrease Amount
Change in direct materials cost per equivalent unit
$
Change in conversion cost per equivalent unit
$
Problem 2

12. Four Finger Appliance Company manufactures small kitchen
appliances. The product line consists of blenders and toaster
ovens. Four Finger
Appliance presently uses the multiple production department
factory overhead rate method. The factory overhead is as
follows:
1 Assembly Department $158,760.00
2 Test and Pack Department 113,925.00
3 Total $272,685.00
The direct labor information for the production of 8,160 units of
each product is as follows:
Department
Assembly Test and Pack
Blender 675 dlh 2,440 dlh
Toaster oven 2,265 815
Total 2,940 dlh 3,255 dlh
Four Finger Appliance used direct labor hours (dlh) to allocate
production department factory overhead to products.

13. Complete the Multiple-Department Overhead Table for
blenders.
A. Determine the two production department factory overhead
rates.*
B. Determine the total factory overhead and the factory
overhead per unit allocated to each
product.*
* If required, round all per-unit answers to the nearest cent.
Blenders
Activity
Allocation-
Base Activity Activity
Usage X Rate = Cost
Assembly Department
dlh
$
/dlh
$

14. Test and Pack
Department
dlh
$
/dlh
Total $
÷ Units ÷
Factory overhead cost per unit $
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Complete the Multiple-Department Overhead Table for toaster
ovens.

15. A. Determine the two production department factory overhead
rates.*
B. Determine the total factory overhead and the factory
overhead per unit allocated
to each product.*
* If required, round all per-unit answers to the nearest cent.
Toaster Ovens
Activity
Allocation-
Base Activity Activity
Usage X Rate = Cost
Assembly Department
dlh
$
/dlh
$
Test and Pack Department

16. dlh
$
/dlh
Total $
÷ Units ÷
javascript:void(0)
Factory overhead cost per unit $