Question - Onitsha Corporation uses a weighted average process costing system to collect costs related to production. The following selected information relates to production for June:
Units started into production 25,000
Units completed and transferred out 20,000
Equivalent units- materials 28,000
Equivalent units- conversion costs 26,000
Cost in work in process on June 1- Materials $6,720 Conversion $9,100
Costs added to production during June- Materials $27,120 Conversion $88,400
All materials at Onitsha are added at the beginning of the production process. Conversion costs are incurred uniformly over the production process.
1) How many partially completed units were in work in process inventory at the beginning of June?
2) What total amount of cost should be assigned to the units completed and transferred out during June?