Barsoux Inc. uses the weighted-average method in its process costing system. The following data concern the operations of the company's first processing department for a recent month.
|
|
|
| Work in process, beginning: |
|
|
| Units in process |
|
1,300 |
| Percent complete with respect to materials |
|
70% |
| Percent complete with respect to conversion |
|
80% |
| Costs in the beginning inventory: |
|
|
| Materials cost |
$ |
2,650 |
| Conversion cost |
$ |
6,736 |
|
|
|
| Units started into production during the month |
|
35,000 |
| Units completed and transferred out |
|
34,300 |
|
|
|
| Costs added to production during the month: |
|
|
| Materials cost |
$ |
563,405 |
| Conversion cost |
$ |
472,606 |
|
|
|
| Work in process, ending: |
|
|
| Units in process |
|
2,000 |
| Percent complete with respect to materials |
|
50% |
| Percent complete with respect to conversion |
|
20% |
|
| Required: |
|
Using the weighted-average method:
|
| a. |
Determine the equivalent units of production for materials and conversion costs. (Carry calculations out to the nearest tenth of a cent.)
|
|
Materials |
Conversion |
| Equivalent units of production |
|
|
|
| b. |
Determine the cost per equivalent unit for materials and conversion costs.
|
|
Materials |
Conversion |
| Cost per equivalent unit |
$ |
$ |
|
| c. |
Determine the cost of units transferred out of the department during the month.
|
|
Materials |
Conversion |
Total |
| Cost of units completed and transferred out |
$ |
$ |
$ |
|
| d. |
Determine the cost of ending work in process inventory in the department.
|
|
Materials |
Conversion |
Total |
| Cost of ending work in process inventory |
$ |
$ |
$ |
|