F2 Mock Exam

A chemical process has a normal wastage of 10% of input. In a period, 2,500 kgs of material were input andthere was an abnormal loss of 75 kgs.What quantity of good production was achieved?

A company manufactures Chemical X, in a single process. At the start of the month there was no work-in-progress.During the month 300 litres of raw material were input into the process at a total cost of $6,000. Conversion costsduring the month amounted to $4,500. At the end of the month 250 litres of Chemical X were transferred to finishedgoods inventory. The remaining work-in-progress was 100% complete with respect to materials and 50% completewith respect to conversion costs. There were no losses in the process.The equivalent units for closing work-in-progress at the end of the month would have been:

In a particular process, the input for the period was 2,000 units. There were no inventories at the beginningor end of the process. Normal loss is 5 per cent of input. In which of the following circumstances is there anabnormal gain?(i) Actual output = 1,800 units(ii) Actual output = 1,950 units(iii) Actual output = 2,000 units

In a process account, abnormal losses are valued

A company needs to produce 340 litres of Chemical X. There is a normal loss of 10% of the material inputinto the process. During a given month the company did produce 340 litres of good production, althoughthere was an abnormal loss of 5% of the material input into the process.How many litres of material were input into the process during the month?

A company produces a certain food item in a manufacturing process. On 1 November, there was no openinginventory of work in process. During November, 500 units of material were input to the process, with a cost of$9,000. Direct labour costs in November were $3,840. Production overhead is absorbed at the rate of 200% ofdirect labour costs. Closing inventory on 30 November consisted of 100 units which were 100% complete as tomaterials and 80% complete as to labour and overhead. There was no loss in process.The full production cost of completed units during November was

A company produces a certain food item in a manufacturing process. On 1 November, there was no openinginventory of work in process. During November, 500 units of material were input to the process, with a cost of$9,000. Direct labour costs in November were $3,840. Production overhead is absorbed at the rate of 200% ofdirect labour costs. Closing inventory on 30 November consisted of 100 units which were 100% complete as tomaterials and 80% complete as to labour and overhead. There was no loss in processThe value of the closing work in progress on 30 November is

A company makes a product in two processes. The following data is available for the latest period, for process 1.Opening work in progress of 200 units was valued as follows.Material $2,400Labour $1,200Overhead $400No losses occur in the process.Units added and costs incurred during the period:Material $6,000 (500 units)Labour $3,350Overhead $1,490Closing work in progress of 100 units had reached the following degrees of completion:Material 100%Labour 50%Overhead 30%The company uses the weighted average method of inventory valuation.How many equivalent units are used when calculating the cost per unit in relation to overhead?

A company makes a product in two processes. The following data is available for the latest period, for process 1.Opening work in progress of 200 units was valued as follows.Material $2,400Labour $1,200Overhead $400No losses occur in the process.Units added and costs incurred during the period:Material $6,000 (500 units)Labour $3,350Overhead $1,490Closing work in progress of 100 units had reached the following degrees of completion:Material 100%Labour 50%Overhead 30%The company uses the weighted average method of inventory valuation.The value of the units transferred to process 2 was

A company uses process costing to establish the cost per unit of its output.The following information was available for the last month:Input units 10,000Output units 9,850Opening inventory 300 units, 100% complete for materials and70% complete for conversion costsClosing inventory 450 units, 100% complete for materials and30% complete for conversion costsThe company uses the weighted average method of valuing inventory.What were the equivalent units for conversion costs?