The following information concerns production in the Forging Department for September. All direct materials are placed into the process at the beginning of production, and conversion costs are incurred evenly throughout the process. The beginning inventory consists of $50,320 of direct materials.
| ACCOUNT Work in Process-Forging Department |
ACCOUNT NO. |
| Date |
Item |
Debit |
Credit |
Balance |
| Debit |
Credit |
| Sept. |
1 |
Bal., 3,700 units, 80% completed |
|
|
61,272 |
|
|
|
30 |
Direct materials, 34,000 units |
452,200 |
|
|
513,472 |
|
|
|
30 |
Direct labor |
54,490 |
|
|
567,962 |
|
|
|
30 |
Factory overhead |
75,242 |
|
? |
|
643,204 |
|
|
|
30 |
Goods finished, ? units |
|
|
? |
|
|
|
30 |
Bal., 3,000 units, 80% completed |
|
|
? |
|
Based on the above data, determine each of the following amounts.
If required, round your interim calculations to two decimal places. Round final answers (a-c) to the nearest dollar.
a. Cost of beginning work in process inventory completed in September.$
b. Cost of units transferred to the next department during September.$
c. Cost of ending work in process inventory on September 30.$
d. Costs per equivalent unit of direct materials and conversion included in the September 1 beginning work in process. If required, round your answers to two decimal places.
Direct materials cost per equivalent unit $
Conversion cost per equivalent unit $
e. The September increase or decrease in costs per equivalent unit for direct materials and conversion from the previous month. If required, round your answers to two decimal places.
Increase or Decrease Amount
Change in direct materials cost per equivalent unit Decrease $
Change in conversion cost per equivalent unit Increase $