Calculate the equivalent units for the forming department


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Work in Process Inventory, August 1: 20,000 units

Direct materials: 100% complete $ 80,000
Conversion: 20% complete
24,000



Balance in work in process, August 1 $ 104,000
Units started during August
52,000
Units completed and transferred in August
59,000
Work in process (70% complete), August 31
?
Costs charged to Work in Process in August

Direct materials $ 161,000
Conversion costs:

Direct labor $ 123,000
Overhead applied
138,000



Total conversion $ 261,000




Assume materials are added at the start of processing.

a.

Calculate the equivalent units for the Forming Department for the month of August.


Direct materials Conversion
Equivalent units


b.

Find the cost per equivalent unit of the transferred units. (Round your answers to 2 decimal places. Omit the "$" sign in your response.)


Direct materials Conversion
Cost per equivalent unit $ $

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Accounting Basics: Calculate the equivalent units for the forming department
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