Question

Sunspot Beverages, Ltd., of Fiji uses the weighted-average method in its process costing system. It makes blended tropical fruit drinks in two stages. Fruit juices are extracted from fresh fruits and then blended in the Blending Department. The blended juices are then bottled and packed for shipping in the Bottling Department. The following information pertains to the operations of the Blending Department for June.

		Percent Completed
	Units	Materials	Conversion
Work in process, beginning	58,000	70%	40%
Started into production	299,000
Completed and transferred out	289,000
Work in process, ending	68,000	75%	25%

	Materials		Conversion
Work in process, beginning	$	20,000	$	6,200
Cost added during June	$	214,600	$	131,500

Required:

1. Calculate the Blending Department's equivalent units of production for materials and conversion in June.

2. Calculate the Blending Department's cost per equivalent unit for materials and conversion in June.

3. Calculate the Blending Department's cost of ending work in process inventory for materials, conversion, and in total for June.

4. Calculate the Blending Department's cost of units transferred out to the Bottling Department for materials, conversion, and in total for June.

5. Prepare a cost reconciliation report for the Blending Department for June.

.

The Assembly Department started the month with 24,300 units in its beginning work in process inventory. An additional 309,300 units were transferred in from the prior department during the month to begin processing in the Assembly Department. There were 29,300 units in the ending work in process inventory of the Assembly Department. How many units were transferred to the next processing department during the month?

Answer 1