Question: Middle-East customers. The product goes through three departments. The following information is available for the first department during June, 2014.
Percent completed
units material conversion
Work in process, beginning 70,000 70% 40%
Sarted into production 460,000
Completed and transfered out 450,000
Work in process, ending 80,000 75% 25%
Material conversion
Work in process, beginning 36,550 13,500
Cost added during june 391,850 287,300
Required: Assume that the company uses the weighted-average process costing.
a) Determine the equivalent units for June for the first process.
b) Compute the costs per equivalent unit for June for the first process.
c) Determine the total cost of ending work in process inventory and the total cost of units transferred to the second process in June.
d) Reconcile the total costs assigned to the ending work in process inventory and the units transferred out with the costs in beginning inventory and costs added during the period.