Problem 1

Units EUP Direct Materials

Beg, WIP 10,000
Started 90,000
Total 100,000

Beg, WIP 10,000 100% 10,000

Started and Completed 60,000 100% 60,000
End, WIP 30,000 40% 12,000
Total 100,000 82,000.00

Total Cost to be
Cost last year Cost this year considered
Direct Material 100,000.00 2,000,000.00 2,100,000.00
Conversion Cost 500,000.00 8,000,000.00 8,500,000.00

Problem 2
Units EUP Direct Materials
Beg, WIP 30,000 75%
Started 60,000
Total 90,000

Beg, WIP 30,000 25% 7,500

Started and Completed 40,000 100% 40,000
End, WIP 20,000 75% 15,000
Total 90,000 62,500.00

Total Cost to be
Cost last year Cost this year considered
Direct Material 100,000.00 1,000,000.00 1,000,000.00
Conversion Cost 500,000.00 7,000,000.00 7,000,000.00

Problem 3
Units EUP Direct Materials
Beg, WIP 15,000
Started 35,000
Total 50,000

Beg, WIP 15,000 100% 15,000

Started and Completed 15,000 100% 15,000
End, WIP 20,000 100% 20,000
Total 50,000 50,000.00

Total Cost to be
Cost last year Cost this year considered
Direct Material 500,000.00 4,000,000.00 4,500,000.00
Conversion Cost 1,500,000.00 4,000,000.00 5,500,000.00
2,000,000.00 8,000,000.00 10,000,000.00
Cost Analysis
Beginning, WIP
Direct Material 15,000 x 90.00
Conversion Cost 15,000 x 119.57
Started and Completed
Direct Material 15,000 x 90.00
Conversion Cost 15,000 x 119.57
Cost of Completed Units
Ending, WIP
Direct Material 20,000 x 90.00
Conversion Cost 16,000 x 119.57
Total Cost Accounted For
To check
Beginning WIP
Cost Added this year
Variance

Problem 4
Assembly Department
Units EUP Direct Materials
Beg, WIP 100,000 100%
Started 400,000
Total 500,000

Beg, WIP 100,000 0% -

Started and Completed 250,000 100% 250,000
End, WIP 150,000 100% 150,000
Total 500,000 400,000.00

Total Cost to be
Cost last year Cost this year considered
Direct Material 3,000,000.00 12,000,000.00 12,000,000.00
Conversion Cost 7,000,000.00 28,000,000.00 28,000,000.00
10,000,000.00 40,000,000.00 40,000,000.00
Cost Analysis
Beginning, WIP
Cost incurred last year
 Direct Material - x 30.00
Conversion Cost 60,000 x 65.12
Started and Completed
Direct Material 250,000 x 30.00
Conversion Cost 250,000 x 65.12
Cost of Completed Units
Ending, WIP
Direct Material 150,000 x 30.00
Conversion Cost 120,000 x 65.12
Total Cost Accounted For
To check
Beginning WIP
Cost Added this year
Variance

If there are 2 departments involve, the cost of the completed units is divided by the total units transferred to the o
Cost of the completed units 37,687,200.00
Units Completed and transferred 350,000
Transferred cost per unit 107.68

Finishing Department
Units EUP Direct Materials
Beg, WIP 50,000 0%
Started 350,000
Total 400,000

Beg, WIP 50,000 100% 50,000

Started and Completed 320,000 100% 320,000
End, WIP 30,000 0% -
Total 400,000 370,000.00

Total Cost to be
Cost last year Cost this year considered
Transferred Unit Cost 10,000,000.00 37,687,200.00 37,687,200.00
Direct Material 6,000,000.00 30,000,000.00 30,000,000.00
Conversion Cost 4,000,000.00 50,000,000.00 50,000,000.00
20,000,000.00 117,687,200.00 117,687,200.00
Cost Analysis
Beginning, WIP
Cost incurred last year
Direct Material 50,000 x 81.08
Conversion Cost 35,000 x 130.89
Started and Completed
Transferred Unit Cost 320,000 x 107.68
Direct Material 320,000 x 81.08
Conversion Cost 320,000 x 130.89
Cost of Completed Units
Ending, WIP
Transferred Unit Cost 30,000 x 107.68
Direct Material - x 81.08
Conversion Cost 27,000 x 130.89
Total Cost Accounted For
To check
Beginning WIP
Cost Added this year
Variance

Problem 5
Units EUP Direct Materials
Beg, WIP 4,000
Started 6,000
Total 10,000

Beg, WIP 4,000 100% 4,000

Started and Completed 1,000 100% 1,000
End, WIP 3,000 25% 750
Normal Loss 1,200 25% 300
Abnormal Loss 800 25% 200
Total 10,000 6,250

Total Cost to be
Cost last year Cost this year considered
Direct Material 100,000.00 2,000,000.00 2,100,000.00
Conversion Cost 400,000.00 2,500,000.00 2,900,000.00

Problem 6
Units EUP Direct Materials
Beg, WIP 20,000 80%
Started 80,000
Total 100,000

Beg, WIP 20,000 20% 4,000

Started and Completed 40,000 100% 40,000
End, WIP 10,000 80% 8,000
Normal Loss 8,000 80% 6,400
Abnormal Loss 22,000 80% 17,600
Total 100,000 76,000
 Total Cost to be
Cost last year Cost this year considered
Direct Material 400,000.00 1,000,000.00 1,000,000.00
Conversion Cost 600,000.00 1,500,000.00 1,500,000.00
1,000,000.00 2,500,000.00 2,500,000.00

Problem 7
Department 1
Units EUP Direct Materials
Beg, WIP 20,000 100%
Started 150,000
Total 170,000

Beg, WIP 20,000 0% -

Started and Completed 112,500 100% 112,500
End, WIP 30,000 100% 30,000
Normal Loss 6,000 100% 6,000
Abnormal Loss 1,500 100% 1,500
Total 170,000 150,000

Total Cost to be
Cost last year Cost this year considered
Direct Material 135,000.00 1,980,000.00 1,980,000.00
Conversion Cost 97,500.00 3,088,800.00 3,088,800.00
232,500.00 5,068,800.00 5,068,800.00

Cost Analysis
Beginning, WIP
Cost incurred last year
Direct Material - x 13.20
DM Increment on Loss - x 0.70
Conversion Cost 16,000 x 19.80
CC Increment on Loss 16,000 x 0.92
Started and Completed
Direct Material 112,500 x 13.20
DM Increment on Loss 112,500 x 0.70
Conversion Cost 112,500 x 19.80
Normal Loss 112,500 x 0.92
Cost of Completed Units
Ending, WIP
Direct Material 30,000 x 13.20
Conversion Cost 20,000 x 19.80
Factory Overhead Control
Direct Material 1,500 x 13.20
 Conversion Cost 1,500 x 19.80
Total Cost Accounted For
To check
Beginning WIP
Cost Added this year
Variance

Department 2
Units EUP Direct Materials
Beg, WIP 10,000 100%
Started 132,500
Total 142,500

Beg, WIP 10,000 100% 10,000

Started and Completed 111,250 100% 111,250
End, WIP 17,500 0% -
Normal Loss 2,500 0% -
Abnormal Loss 1,250 0% -
Total 142,500 121,250

Total Cost to be
Cost last year Cost this year considered
Transferred Unit Cost 285,450.00 4,459,800.00 4,745,250.00
Direct Material 214,875.00 840,000.00 1,054,875.00
Conversion Cost 280,725.00 1,282,500.00 1,563,225.00
781,050.00 6,582,300.00 7,363,350.00

Cost Analysis
Beginning, WIP
Transferred Unit Cost 10,000 x 33.30
TC Increment on Loss 10,000 x 0.69
Direct Material 10,000 x 8.70
DM Increment on Loss - x -
Conversion Cost 10,000 x 11.40
CC Increment on Loss 10,000 x 0.21
Started and Completed
Transferred Unit Cost 111,250 x 33.30
TC Increment on Loss 111,250 x 0.69
Direct Material 111,250 x 8.70
DM Increment on Loss 111,250 x -
Conversion Cost 111,250 x 11.40
Normal Loss 111,250 x 0.21
Cost of Completed Units
Ending, WIP
Transferred Unit Cost 17,500 x 33.30
Direct Material - x 8.70
Conversion Cost 12,500 x 11.40
Factory Overhead Control
Transferred Unit Cost 1,250 x 33.30
Direct Material - x 8.70
Conversion Cost 1,125 x 11.40
Total Cost Accounted For
To check
Beginning WIP
Cost Added this year
Variance

Problem 8
Assembly
Units EUP Direct Materials
Beg, WIP 10,000 100%
Started 65,000
Total 75,000

Beg, WIP 10,000 0% -

Started and Completed 50,000 100% 50,000
End, WIP 7,500 100% 7,500
Normal Loss 3,000 100% 3,000
Abnormal Loss 4,500 100% 4,500
Total 75,000 65,000

Total Cost to be
Cost last year Cost this year considered
Direct Material 81,000.00 279,000.00 279,000.00
Conversion Cost 137,250.00 507,375.00 507,375.00
218,250.00 786,375.00 786,375.00

Cost Analysis
Beginning, WIP
Cost incurred last year
Direct Material - x 4.29
DM Increment on Loss - x 0.21
Conversion Cost 1,000 x 8.25
CC Increment on Loss 1,000 x -
Started and Completed
Direct Material 50,000 x 4.29
DM Increment on Loss 50,000 x 0.21
Conversion Cost 50,000 x 8.25
CC Increment on Loss 50,000 x -
Cost of Completed Units
Ending, WIP
 Direct Material 7,500 x 4.29
DM Increment on Loss 7,500 x 0.21
Conversion Cost 6,000 x 8.25
CC Increment on Loss 6,000 x -
Factory Overhead Control
Direct Material 4,500 x 4.29
DM Increment on Loss 4,500 x 0.21
Conversion Cost 4,500 x 8.25
Conversion Cost 4,500 x -
Total Cost Accounted For
To check
Beginning WIP
Cost Added this year
Variance
EUP Conversion Cost

100% 10,000
100% 60,000
60% 18,000
88,000.00

EUP Unit Cost

82,000.00 25.61
88,000.00 96.59

EUP Conversion Cost

40%

60% 18,000
100% 40,000
10% 2,000
60,000.00

EUP Unit Cost

62,500.00 16.00
60,000.00 116.67

EUP Conversion Cost

100% 15,000
100% 15,000
80% 16,000
 46,000.00

EUP Unit Cost

50,000.00 90.00
46,000.00 119.57

1,350,000.00
1,793,550.00 3,143,550.00

1,350,000.00
1,793,550.00 3,143,550.00
6,287,100.00

1,800,000.00
1,913,120.00 3,713,120.00
10,000,220.00

2,000,000.00
8,000,000.00 10,000,000.00
220.00 (Difference is due to rounding but if you try to maximize the decimals, varian

EUP Conversion Cost

40%

60% 60,000
100% 250,000
80% 120,000
430,000.00

EUP Unit Cost

400,000.00 30.00
430,000.00 65.12

10,000,000.00
 -
3,907,200.00 13,907,200.00

7,500,000.00
16,280,000.00 23,780,000.00
37,687,200.00

4,500,000.00
7,814,400.00 12,314,400.00
50,001,600.00

10,000,000.00
40,000,000.00 50,000,000.00
1,600.00 (Difference is due to rounding but if you try to maximize the decimals, varian

he total units transferred to the other department to get the transferred cost per unit

EUP Conversion Cost

30%

70% 35,000
100% 320,000
90% 27,000
382,000.00

EUP Unit Cost

350,000.00 107.68 *Note that there is an additional item to be considered for the solving and is
370,000.00 81.08
382,000.00 130.89

20,000,000.00
4,054,000.00
4,581,150.00 28,635,150.00

34,457,600.00 *Note that there is an additional item to be considered for the solving and is
25,945,600.00
41,884,800.00 102,288,000.00
 130,923,150.00

3,230,400.00 *Note that there is an additional item to be considered for the solving and is
-
3,534,030.00 6,764,430.00
137,687,580.00

20,000,000.00
117,687,200.00 137,687,200.00
380.00 (Difference is due to rounding but if you try to maximize the decimals, varian

EUP Conversion Cost

100% 4,000
100% 1,000
90% 2,700
70% 840
70% 560
9,100

EUP Unit Cost

6,250 336.00
9,100 318.68

EUP Conversion Cost

72%

28% 5,600
100% 40,000
80% 8,000
75% 6,000
75% 16,500
76,100
EUP Unit Cost

76,000 13.16
76,100 19.71

EUP Conversion Cost

20%

80% 16,000
100% 112,500
67% 20,000
100% 6,000 Normal Loss
100% 1,500 To be distributed to Beg, Started and Completed, and to
156,000 Direct Materials
Unit Cost
Total
EUP Unit Cost
Total EUP to be considered
150,000 13.20 DM Increment
156,000 19.80

232,500.00
-
-
316,800.00
14,792.22 564,092.22

1,485,000.00
79,200.00
2,227,500.00
104,007.78 3,895,707.78
4,459,800.00

396,000.00
396,000.00 792,000.00

19,800.00
 29,700.00 49,500.00
5,301,300.00

232,500.00
5,068,800.00 5,301,300.00
-

EUP Conversion Cost

80%

100% 10,000
100% 111,250
71% 12,500
90% 2,250
90% 1,125
137,125

EUP Unit Cost

Normal Loss
142,500 33.30 To be distributed to Beg and Started and Completed sin
121,250 8.70 Direct Materials
137,125 11.40 Unit Cost
Total
Total EUP to be considered
DM Increment

333,000.00
6,865.98 Transferred in Cost
87,000.00 Unit Cost
- Total
114,000.00 Total EUP to be considered
2,115.46 542,981.44 TC Increment on Loss

3,704,625.00
76,384.02
967,875.00
-
1,268,250.00
23,534.54 6,040,668.56
6,583,650.00

582,750.00
-
142,500.00 725,250.00
 41,625.00
-
12,825.00 54,450.00
7,363,350.00

781,050.00
6,582,300.00 7,363,350.00
-

EUP Conversion Cost

90%

10% 1,000
100% 50,000
80% 6,000
0% - Normal Loss
100% 4,500 To be distributed to Beg, Started and Completed, and to
61,500 *Note this is a special one since the Abnormal Loss hap
Direct Materials
Unit Cost
EUP Unit Cost
Total
65,000 4.29 Total EUP to be considered
61,500 8.25 DM Increment

218,250.00
-
-
8,250.00
- 226,500.00

214,615.38
10,384.62
412,500.00
- 637,500.00
864,000.00
 32,192.31
1,557.69
49,500.00
- 83,250.00

19,315.38
934.62
37,125.00
- 57,375.00
1,004,625.00

218,250.00
786,375.00 1,004,625.00
-
try to maximize the decimals, variance will only be around 1 to 10)
 try to maximize the decimals, variance will only be around 1 to 10)

o be considered for the solving and is based on the original units transferred

o be considered for the solving and is based on the original units transferred
o be considered for the solving and is based on the original units transferred

try to maximize the decimals, variance will only be around 1 to 10)

o Beg, Started and Completed, and to the Abnormal Loss since the Ending WiP Still hasn't passed the inspection point
6,000 Conversion cost
13.20 Unit Cost
79,200.00 Total

112,500 Total EUP to be considered

0.70 CC increment
o Beg and Started and Completed since the Ending WiP Still hasn't passed the inspection point
- Conversion cost
- Unit Cost
- Total
- Total EUP to be considered
- CC increment

2,500
33.30
83,250.00
121,250
0.68660
o Beg, Started and Completed, and to the Abnormal Loss since the Ending WiP Still hasn't passed the inspection point
cial one since the Abnormal Loss happened at a later period of the process
3,000 Conversion cost
4.29 Unit Cost

12,876.92 Total
62,000 Total EUP to be considered
0.21 CC increment
t passed the inspection point
6,000
19.80
118,800.00

128,500
0.92
 2,250
11.40
25,650.00
121,250
0.21155
t passed the inspection point

-
8.25

-
60,500
-