The Molding Department of Sunland Company has the following production data: beginning work in process 25200 units (70% complete), started into production 474000 units, completed and transferred out 449700 units, and ending work in process 49500 units (30% complete). Assuming all materials are entered at the beginning of the process, equivalent units of production for materials are:____.
a. 459150.
b. 499200.
c. 464550.
d. 449700.

Answer:

b. 499200

Explanation:

Calculation to determine what the equivalent units of production for materials are:

Using this formula

Equivalent units of production for materials=Completed and transferred out units+ Ending work in process units

Let plug in the formula

Equivalent units of production for materials=449700units+ 49500units

Equivalent units of production for materials=499200

Therefore Assuming all materials are entered at the beginning of the process, equivalent units of production for materials are:499200

Albatross Company purchased a piece of machinery for $60,000 on January 1, 2019, and has been depreciating the machine using the double-declining-balance method based on a five-year estimated useful life and no salvage value. On January 1, 2021, Albatross decided to switch to the straight-line method of depreciation. The salvage value is still zero and the estimated useful life did not change. Ignore income taxes.

Required:
a. What type of accounting change is this, and how should it be handled?
b. Prepare the journal entry to record depreciation for 2017. Show all calculations clearly.