Question

The Welding Department of Majestic Company has the following production and manufacturing cost data for February 2020. All materials are added at the beginning of the process. Majestic uses the FIFO method to compute equivalent units.

Beginning work in process		$46,332		Beginning work in process		21,600	units, 10% complete
Costs transferred in		194,400		Units transferred out		77,760
Materials		82,080		Units transferred in		92,160
Labor		50,544		Ending work in process		36,000	units, 20% complete
Overhead		98,496

Quantities		Physical Units		Materials		Conversion Costs
Units to be accounted for
Work in process, February 1
Started into production
Total units
Units accounted for
Completed and transferred out
Work in process, February 1
Started and completed
Total
Work in process, February 28
Total units

Costs				Materials		Conversion Costs		Total
Unit costs
Costs in February				$		$		$
Equivalent units
Unit costs				$		$		$
Costs to be accounted for
Work in process, February 1								$
Started into production
Total costs								$
Cost Reconciliation Schedule
Costs accounted for
Transferred out
Work in process, February 1				$
Costs to complete beginning work in process
Conversion costs
Total costs						$
Units started and completed
Total costs transferred out								$
Work in process, February 28
Materials
Conversion costs
Total costs

Answer 1

			physical	materials	Conversion
			units		costs
Quantities
units to be accounted for
Work in process ,feburary 1			21,600
Started into production			92,160
total units			113,760
units accounted for
completed and transferred out
work in process ,feburary 1			21,600	0	19440
started and completed			56,160	56,160	56,160
total			77,760	56160	75600
work in process ,feburary 28			36,000	36,000	7200
total units			113,760	92160	82800
costs				Materials	CC	Total
unit costs
costs in feburary				276480	149040	425520
Equivalent units				92160	82800
total costs				3	1.8	4.8
costs to be accounted for
Work in process ,feb 1						46,332
started into production						425520
total costs						471,852
Cost reconciliation schedule
costs accounted for
Tranferred out
work in process ,Feburary 1				46,332
costs to complete beginning wip
conversion costs				34992
total costs					81,324
units started and completed					269568
total costs transferred out						350,892
work in process ,Feburary 28
materials					108000
conversion.					12960	120960
total costs						471,852