Trunkey Products Inc

question 21

Essay

Trunkey Products Inc.uses a process costing system and has just completed production for the month of November 2014.The following production data were obtained from the accounting records:
a.Units in beginning inventory totaled 6,800 and were 30 percent complete as of November 1 (all direct materials were added to these products in the preceding month).
b.During the period,156,200 units were started.
c.19,200 units were partially completed as of November 30,2014.
d.Ending work in process inventory was 40 percent complete at month end.
From the data given,compute the equivalent units of production for direct materials and conversion costs for the month ended November 30,2014,assuming a FIFO flow of costs.

Grasp the concept of cellular adaptability and response to environmental challenges or changes at the microscopic level.

Convert between cups and liters for liquid volumes.

Calculate costs based on volume and unit price.

Convert between gallons and liters for liquid volumes.

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Definitions:

Transfer Price

The price at which goods and services are sold between divisions within the same company, often used for budgetary and accounting purposes.

Buying Division

A specialized department within a company responsible for making purchase decisions and executing transactions.

Selling Division

A specialized department within a company responsible for overseeing and implementing sales strategies.

Transfer Price

The price at which goods, services, or intellectual property are traded between divisions within the same company.