Manufacturing company blends a special product in a one department process. Materials are added at the beginning of the process and conversion costs are uniformly incurred. At the beginnning of June, the work in process is 40 percent complete and at the end of the month it is 70 percent complete. Other data for the month include:
Cost of direct materials incurred in June $402,000
Conversion costs incurred in June $296,000
Beginning work in process costs:
Materials $158,000
Conversion $39,000
Beginning work in process inventory 10,000 units
Units started 25,000 units
Ending work in process inventory 5,000 units
Required:
Use the weighted-average method to answer a - g for June:
a) how many units were transferred out fo the department during june?
b) calculate the equivalent units for materisl and for conversion cost for june
c) calculate the total amount of product costs to be accounted for in june
d) calculate the materials and the convesoin costs per equivalent units in production
e) calculate the dollars assigned to units transferred out to finished goods
f) calculate the dollars assigned to units remaining in ending work in process inventory
g) give the journal entry to record the cots transferred out in (e)
h) calculate the equivalent units for materials and conversion costs using the FIFO method.