The Cost of Materials Transferred into the Bottling Department of Mountain

question 92

Essay

The cost of materials transferred into the Bottling Department of Mountain Springs Water Company is $32,400, with $26,000 from the Purifying Department, plus an additional $6,400 from the materials storeroom. The conversion cost for the period in the Bottling Department is $8,750
($3,750 factory applied and $5,000 direct labor). The total cost transferred to finished goods for the period was $31,980. The Bottling Department had a beginning inventory of $1,860.
(a)Journalize the cost of transferred-in materials, conversion costs, and the cost transferred out to finished goods.
(b)Determine the balance of Work in Process-Bottling at the end of the period.

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Definitions:

Zara

A global fashion retailer known for its fast-fashion business model, achieving rapid inventory turnover and quick adaptation to changing fashion trends through integrated design, production, and distribution processes.

Supply Chain Strategy

A plan for managing all the resources involved in sourcing, producing, and delivering products and services to customers.

Lead Times

The duration between the initiation and the completion of a production process, or the time it takes for an order to be delivered after its placement.

Macro Processes

Refers to the overarching, large-scale operations or functions within a system or organization that influence its overall performance.