1.

Maloe Company adds material at the beginning of

the process in Department A. Data concerning
materials used in the month of October production
are as follows:
2. Started during March 50,000 units
3. Completed and transferred 36,000 units
4. Normal spoilage 4,000 units
5. Work in process, March 31 10,000 units
6.
7. The equivalent units for materials are:
8. A. 50,000 B. 34,000
C. 40,000 D. 46,000
9. Kew had 3,000 units of work in process at April 1
which were 60% as to conversion cost. During
April, 10,000 units were completed. At April 30,
4,000 units remained in work in process which were
40% complete as to conversion cost. Direct
materials are added at the beginning of the process.
How many units were started during April?
A. 9,000 B. 9,800 C. 10,000 D. 11,000
Definition of Process Costing

Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

What is process costing?

Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:
What is process costing?
Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

What is process costing?

Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

 Direct materials of $150,000

 Conversion costs of $225,000

If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for

direct materials and $2.25 for conversion costs. These costs will then be transferred to second

department where its processing costs will be added What is process

costing?
Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

 Direct materials of $150,000

 Conversion costs of $225,000

If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for

direct materials and $2.25 for conversion costs. These costs will then be transferred to second

department where its processing costs will be added What is process

costing?
Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

 Direct materials of $150,000

 Conversion costs of $225,000
If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for
direct materials and $2.25 for conversion costs. These costs will then be transferred to second
department where its processing costs will be added.

What is process costing?

Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

 Direct materials of $150,000

 Conversion costs of $225,000
If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for
direct materials and $2.25 for conversion costs. These costs will then be transferred to second
department where its processing costs will be added.

What is process costing?

Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

 Direct materials of $150,000

 Conversion costs of $225,000
If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for
direct materials and $2.25 for conversion costs. These costs will then be transferred to second
department where its processing costs will be added.

What is process costing?

Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

 Direct materials of $150,000

 Conversion costs of $225,000
If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for
direct materials and $2.25 for conversion costs. These costs will then be transferred to second
department where its processing costs will be added.

What is process costing?

Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

 Direct materials of $150,000

 Conversion costs of $225,000
If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for
direct materials and $2.25 for conversion costs. These costs will then be transferred to second
department where its processing costs will be added.

What is process costing?

Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:
 Direct materials of $150,000
 Conversion costs of $225,000
If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for
direct materials and $2.25 for conversion costs. These costs will then be transferred to second
department where its processing costs will be added.

What is process costing?

Definition of Process Costing
Process costing is a term used in cost accounting to describe one method for collecting and
assigning manufacturing costs to the units produced. A processing cost system is used when
nearly identical units are mass produced. (Job costing or job order costing is a system used to
collect and assign manufacturing costs to units that vary from one another.)
Example of Process Costing
Let's assume that a company manufactures large quantities of an identical product. The product
requires several processing operations, each of which occurs in a separate department. In the first
department, the following processing costs were incurred during the month of June:

 Direct materials of $150,000

 Conversion costs of $225,000
If the equivalent of 100,000 units were processed in June, the per unit costs will be $1.50 for
direct materials and $2.25 for conversion costs. These costs will then be transferred to second
department where its processing costs will be added.