Broadline Ltd

question 221

Essay

Broadline 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 occurred in its Machining Department during April.
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 April 30 Work in Process Inventory.

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Definitions:

Osmotic Pressure

The pressure that must be exerted on the hypertonic side of a selectively permeable membrane to prevent diffusion of water (by osmosis) from the side containing pure water.

Turgor Pressure

The force within the cell that pushes the plasma membrane against the cell wall.

Simple Diffusion

The movement of particles from a region of higher concentration to a region of lower concentration without the need for energy input.

Scented Candle

A candle infused with fragrant oils that release a pleasant aroma when burned, commonly used for decoration, ambiance, and aromatherapy.