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Posted: June 15th, 2022
Weighted-average method. Larsen Company manufactures car seats in its San Antonio plant
Price+Accounting+(15th+Version)+-+Charles+T.+Horngren.pdfWeighted-average methodology. Larsen Company manufactures car seats in its San Antonio plant. Every car seat passes by way of the meeting division and the testing division. This downside focuses on the meeting division. The method-costing system at Larsen Company has a single direct-cost class (direct supplies) and a single indirect-cost class (conversion prices). Direct supplies are added firstly of the method. Conversion prices are added evenly throughout the course of. When the meeting division finishes work on every car seat, it’s instantly transferred to testing.Larsen Company makes use of the weighted-average methodology of course of costing. Knowledge for the meeting depart- ment for October 2014 are as follows:RequiredWork in course of, October 1aStarted throughout October 2014 Accomplished throughout October 2014Work in course of, October 31bTotal prices added throughout October 2014Bodily Models (Car Seats)5,000 20,000 22,5002,500Direct Supplies$1,250,000$four,500,000Conversion Prices$ 402,750$2,337,500ASSIGNMENT MATERIAL 701aDegree of completion: direct supplies,?%; conversion prices, 60%. bDegree of completion: direct supplies,?%; conversion prices, 70%.For every value class, compute equal models in the meeting division. Present bodily models in the primary column of your schedule.What points ought to the supervisor deal with when reviewing the equal models calculation?For every value class, summarize complete meeting division prices for October 2014 and calculate the associated fee per equal unit.Assign prices to models accomplished and transferred out and to models in ending work in course of.
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