fill in the blanks.\n1. the \_______\ portion of the cost reconciliation report includes the cost of ending…

fill in the blanks.\n1. the \_______\ portion of the cost reconciliation report includes the cost of ending work - in - process inventory and the cost of units transferred out.\n2. the _______ unit for conversion costs will always be the same under both the fifo and the weighted - average methods if theres no beginning work - in - process inventory.\n3. under the _______ process costing method, the equivalent units of production relate only to work done during the current period.\n4. in both the direct and step - down methods of allocating service department costs, any amount of the _______ thats attributable to the service department whose cost is being allocated is ignored.\n5. the _______ method requires that an order of allocation be established before service department costs can be allocated to operating departments.\n6. process costing is used in situations where _______ products or services are produced on a continuous basis.\n7. costs flow through manufacturing accounts in basically the same way in a process costing system as in a job - order costing system, but costs are accumulated by _______ rather than by _______.\n8. in process costing, the _______ of production must be determined for each cost category in each department.\n9. under the _______ method, the equivalent units of production equal the number of completed units transferred out to the next department plus the equivalent units in ending work - in - process inventory.\n10. the _______ report reconciles the cost of beginning inventory and the costs added to production during the period to the cost of ending inventory and the cost of units transferred out.\nrespond to the following based on your reading.

fill in the blanks.\n1. the \_______\ portion of the cost reconciliation report includes the cost of ending work - in - process inventory and the cost of units transferred out.\n2. the _______ unit for conversion costs will always be the same under both the fifo and the weighted - average methods if theres no beginning work - in - process inventory.\n3. under the _______ process costing method, the equivalent units of production relate only to work done during the current period.\n4. in both the direct and step - down methods of allocating service department costs, any amount of the _______ thats attributable to the service department whose cost is being allocated is ignored.\n5. the _______ method requires that an order of allocation be established before service department costs can be allocated to operating departments.\n6. process costing is used in situations where _______ products or services are produced on a continuous basis.\n7. costs flow through manufacturing accounts in basically the same way in a process costing system as in a job - order costing system, but costs are accumulated by _______ rather than by _______.\n8. in process costing, the _______ of production must be determined for each cost category in each department.\n9. under the _______ method, the equivalent units of production equal the number of completed units transferred out to the next department plus the equivalent units in ending work - in - process inventory.\n10. the _______ report reconciles the cost of beginning inventory and the costs added to production during the period to the cost of ending inventory and the cost of units transferred out.\nrespond to the following based on your reading.

Answer

Brief Explanations:

  1. In cost reconciliation reports, the "cost accounted for" section sums up the costs of ending work - in - process and units transferred out.
  2. Without beginning work - in - process, the equivalent units for conversion costs are the same under FIFO and weighted - average as there's no prior - period work to consider.
  3. The FIFO (First - In - First - Out) process costing method focuses only on current - period work for equivalent units.
  4. In service department cost allocation (direct and step - down), self - usage (service department using its own services) is ignored.
  5. The step - down method requires an allocation order as it allocates costs in a sequential manner.
  6. Process costing is for homogeneous (similar) products produced continuously.
  7. In process costing, costs are accumulated by department (unlike job - order by job).
  8. Equivalent units (a measure of partially completed work) must be determined for each cost category.
  9. The weighted - average method calculates equivalent units as completed units transferred out plus equivalent units in ending inventory.
  10. The cost reconciliation report balances beginning inventory costs, added costs, ending inventory costs, and transferred - out costs.

Answer:

  1. cost accounted for
  2. equivalent
  3. FIFO
  4. self - service (or service department's own usage)
  5. step - down
  6. homogeneous
  7. department; job
  8. equivalent units
  9. weighted - average
  10. cost reconciliation