Bluetones Ltd

question 146

Essay

Bluetones Ltd.uses the weighted-average method of process costing.Materials are added at the beginning of the machining process and conversion costs are added evenly throughout the process.The following activity ocurred in its' Machining Department during June.
Units:

Costs:

Required
1.Summarize flow of physical units and compute total equivalent units for three cost categories: transferred-in,direct materials,and conversion costs.
2.Summarize total costs to account for and compute the cost per equivalent unit for each cost category.
3.Assign total costs to (a)units completed and transferred to Finished Goods Inventory and (b)units in June 30 Work in Process Inventory.

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Definitions:

Banking

The industry involving the holding, lending, and managing of money and financial instruments for individuals, businesses, and governments.

Trucking

The industry or activity of transporting goods by road, typically involving large vehicles known as trucks.

Airlines

Businesses that offer services for flying both passengers and cargo.

Sherman Act

The Sherman Act is a foundational antitrust law in the United States that prohibits monopolistic practices and promotes competition.