Question

Units of production data for the two departments of Continental Cable and Wire Company for November of the current fiscal year are as follows: Drawing Department Winding Department Work in process, November 1 6,600 units, 40% completed 2,400 units, 60% completed Completed and transferred to next processing department during November 90,400 units 89,500 units Work in process, November 30 5,000 units, 85% completed 3,300 units, 10% completed a. If all direct materials are placed in process at the beginning of production, determine the direct materials and conversion equivalent units of production for November for the Drawing Department. If an amount is zero, enter in "0". Drawing Department Direct Materials and Conversion Equivalent Units of Production For November Whole Units Direct Materials Equivalent Units Conversion Equivalent Units Inventory in process, November 1 Started and completed in November Transferred to Winding Department in November Inventory in process, November 30 Total b. If all direct materials are placed in process at the beginning of production, determine the direct materials and conversion equivalent units of production for November for the Winding Department. If an amount is zero, enter in "0". Winding Department Direct Materials and Conversion Equivalent Units of Production For November Whole Units Direct Materials Equivalent Units Conversion Equivalent Units Inventory in process, November 1 Started and completed in November Transferred to finished goods in November Inventory in process, November 30 Total

Answer 1

Continental Cable and Wire Company
Drawing Department
First in First out (FIFO) Method
Month ended November 30
Summary of Physical units
Units in beginning WIP inventory			6600
Units started during month (95400-6600)			88800
Total unit to be accounted for			95400
Units completed and transferred out			90400
Units in ending WIP inventory			5000
Total unit accounted for			95400
Equivalent Units of production
Particulars	Physical units	Direct material		Conversion Cost
		%	Units	%	Units
Units in beginning WIP inventory	6600	0%	0	60%	3960
Units in Started and completed (90400-6600)	83800	100%	83800	100%	83800
Units in ending WIP inventory	5000	100%	5000	85%	4250
Equivalent Units of production			88800		92010
For direct material 100% unit completed in previous period. It means remaining 0% completed in this month.
For conversion cost 40% unit completed in previous period. It means remaining 60% completed in this month.

Continental Cable and Wire Company
Winding Department
First in First out (FIFO) Method
Month ended November 30
Summary of Physical units
Units in beginning WIP inventory			2400
Units started during month (92800-2400)			90400
Total unit to be accounted for			92800
Units completed and transferred out			89500
Units in ending WIP inventory			3300
Total unit accounted for			92800
Equivalent Units of production
Particulars	Physical units	Direct material		Conversion Cost
		%	Units	%	Units
Units in beginning WIP inventory	2400	0%	0	40%	960
Units in Started and completed (89500-2400)	87100	100%	87100	100%	87100
Units in ending WIP inventory	3300	100%	3300	10%	330
Equivalent Units of production			90400		88390
For direct material 100% unit completed in previous period. It means remaining 0% completed in this month.
For conversion cost 60% unit completed in previous period. It means remaining 40% completed in this month.