Bacon Manufacturing Company Has Two Departments,Assembly and Finishing Required:
1)Compute the Equivalent Units for the Finishing Department Using

question 60

Essay

Bacon Manufacturing Company has two departments,Assembly and Finishing.Consider the following data for the Finishing Department for April:
$\begin{array}{|l|c|c|c|c|c|c|}\hline&&\text { Transferred- }&\text { Direct}&\text { Direct }\\&\text { Units }&\text { in }&\text { Material }&\text { Labor}&\text { Overhead}&\text { Total }\\\hline \text { Beginning work in process } & & & &&& \$ 35,000 \\\hline \text { Started during the month } & & & & \\\hline \text { Completed during the month } & 18,000 & & & \\\hline \text { Ending work in process ( } ? \% \text { complete) } & 12,000 & & \\\hline \text { Costs added during month } & & \$ 300,000 & \$ 100000 & \$60,600 & \$ 40,000 & \text { \$ } 500,000 \\\hline\text { Cost per equivakent unit }&&&&&&\$20,000\\\hline\end{array}$

Required:
1)Compute the equivalent units for the Finishing Department using the weighted average method.
2)Compute the number of equivalent units for the department's ending inventory.
3)At what state of completion (percentage)are the units in the department's ending inventory? (State your answer in a percentage and round it to one decimal place.)
4)Compute the amount of cost that should be transferred out.
5)Compute the cost that should be assigned to the department's ending inventory.

Interpret the effects of market conditions on a firm’s profit and production decisions.

Understand the optimal output rule and its application in perfect competition.

Recognize the characteristics of perfectly competitive markets including easy entry and product standardization.

Analyze the relationship between a firm's marginal cost curve and its supply curve.

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Definitions:

Manufacturing Overhead

Costs in manufacturing beyond direct labor and materials, including expenses like factory maintenance and equipment depreciation, essential for production but not directly traceable to specific units.

Indirect Materials

Materials used in the production process that are not directly traceable to a specific product.

T-Accounts

A bookkeeping tool that visually represents individual accounts as "T", showing debits on the left and credits on the right.

Production

The process of creating goods or services through the combination of labor, materials, and technology.