Cost 620

Front 1

the main difference between process costing and job costing is the

Back 1

extent of averaging used to compute unit costs of products or services

Front 2

process costing systems separate costs into cost categories according to

Back 2

when costs are introduced into the process

Front 3

what are the five steps of process costing

Back 3

1. Summarize the physical flow of units of output. (quantity report)
2. Compute output in terms of equivalent units.
3. Summarize Costs to be accounted for.
4. Calculate cost per equivalent unit.
5. Prepare a schedule of Costs Accounted For.

Front 4

How do you compute the weighted average equivalent units

Back 4

Step 2 – Compute equivalent units.
TO X 100%
+ EB X % Completed
= Equivalent Units.

Front 5

What are the weighted average costs to be accounted for?

Back 5

Costs in the Beginning Work in Process
Current period manufacturing costs (CPMC).

Front 6

What is the weighted average cost per equivalent unit?

Back 6

Compute the cost per Equivalent Unit (E.U.)

Beg WIP Costs + CPMC/
Total Equivalent Units

Front 7

How do you Prepare a schedule of Costs Accounted For using the weighted average mehtod?

Back 7

Costs Transferred out = E.U. Transferred Out X Cost per E.U.
Costs in Ending WIP =
E.U. in Ending WIP X Cost per E.U.

Front 8

What does TO equal in Weighted average method

Back 8

Units finished during this period

Front 9

What does TO equal to in FIFO method?

Back 9

Beginning Work in Process
+Units Started and Completed

Front 10

How do you calculate equivalent units in FIFO method

Back 10

Compute equivalent units E.U.)
Beg WIP X % to be completed
+ Units Started and Completed X 100%
+ End WIP X % completed

Front 11

Wgat are the costs to be accounted for in the FIFO method?

Back 11

Costs in the Beginning Work in Process
Current period manufacturing costs (CPMC).

Front 12

How do you figure the costs per equivalent unit through the fifo method

Back 12

Step 4: Calculate the Cost per E.U.
*Total Current Period Manufacturing Costs/Total Equivalent Units

Front 13

How do you prepare a schedule of costs accounted for for the FIFO method?

Back 13

Prepare a schedule of Costs Accounted For Layers of Costs T.O.:
Beg WIP costs from prior period
Current Period costs T.O:
E.U. to finish Beg WIP X Cost per E.U.
E.U. Started and Finished X Cost per E.U.

Front 14

How do you calculate the costs in ending WIP for FIFO

Back 14

Costs in Ending WIP:
E.U. in Ending WIP X Cost per E.U.

Front 15

What are units to account for under FIFO

Back 15

Beg WIP + Units started

Front 16

What are units to be accounted for under FIFO

Back 16

Beg WIP + Started and Completed + Ending WIP

Front 17

What are TO units under FIFO

Back 17

Beg Wip + started and completed

Front 18

What is started and completed units under FIFO

Back 18

TO - Beg WIP