Author Question: Direct Disk Drive Company operates a computer disk manufacturing plant. Direct materials are added ... (Read 104 times)

mydiamond · **on:** Mar 6, 2021

Question 1

When there are multiple support departments within an organization, it is common to use journal entries to transfer-in costs from one department to another. What are some of the points to remember about these costs?

Question 2

Direct Disk Drive Company operates a computer disk manufacturing plant. Direct materials are added at the end of the process. The following data were for June 2017:

Work in process, beginning inventory

25,400 units

Transferred-in costs (100% complete)
Direct materials (0% complete)
Conversion costs (85% complete)

Transferred in during current period

165,100 units

Completed and transferred out

185,200 units

Work in process, ending inventory

5700 units

Transferred-in costs (100% complete)
Direct materials (0% complete)
Conversion costs (65% complete)

How many units must be accounted for during the period?
◦ 216,300 units
◦ 190,500 units
◦ 169,945 units
◦ 139,700 units

kswal303 · **Reply #1 on:** Mar 6, 2021

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