Question - Moravia Company processes and packages cream cheese. The following data have been compiled for the month of April. Conversion activity occurs uniformly throughout the production process.
Prepare schedules to accomplish each of the following process-costing steps for the month of April. Use the weighted-average method of process costing.
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Information Needed:
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Work in process, April 1-10,000 units:
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Direct material: 100% complete, cost of
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$22,000
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Conversion: 20% complete, cost of
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$4,500
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Balance in work in process, April 1
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$26,500
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Units started during April
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100,000
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Units completed during April and transferred out to finished-goods inventory
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80,000
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Work in process, April 30:
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Direct material: 100% complete
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Conversion: 33 1 3 % complete
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Costs incurred during April:
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Direct material
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$198,000
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Conversion costs:
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Direct labor
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$52,800
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Applied manufacturing overhead
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105,600
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Total conversion costs
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$158,400
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Required - Calculation of equivalent units.