Question

Lansing, Inc. provides the following information for one of its department’s operations for June (no new material is added in Department T):

WIP inventory—Department T
Beginning inventory ((9,300 units, 30% complete with respect to Department T costs)
Transferred-in costs (from Department S)	$	50,900
Department T conversion costs		20,890
Current work (21,100 units started)
Prior department costs		122,380
Department T costs		216,410

The ending inventory has 4,300 units, which are 50 percent complete with respect to Department T costs and 100 percent complete for prior department costs.

Required:

a. Complete the production cost report using the weighted-average method. (Round "Cost per equivalent unit" to 2 decimal places.)

Answer 1

Production cost report :

Units to be accounted for
Beginning work in process	9300
Units started	21100
Total units to be accounted for	30400
Units accounted as
Units transferred out	26100
Ending work in process	4300
Total units accounted as	30400
Equivalent unit	Whole Unit	EUP-prior department cost	EUP-conversion
Units transferred out	26100	26100	26100
Endin g work in process	4300	4300	2150
Total	30400	30400	28250
Unit cost
		Prior department cost	Conversion cost
Beginning work in process		50900	20890
Cost		122380	216410
Total cost		173280	237300
Equivalent unit		30400	28250
Unit cost		5.7	8.40
Cost reconciliation and assignment
Cost to be accounted for
Begining work in process cost	71790
Cost added	338790
Total cost to be accounted for	410580
Cost accounted as
Cost of units transferred out	368010
Cost of ending work in process	42570
Total cost accounted as	410580