Question

During April, the production department of a process manufacturing system completed a number of units of a product and transferred them to finished goods. Of these transferred units, 82,000 were in process in the production department at the beginning of April and 328,000 were started and completed in April. April's beginning inventory units were 70% complete with respect to materials and 30% complete with respect to conversion. At the end of April, 104,000 additional units were in process in the production department and were 85% complete with respect to materials and 35% complete with respect to conversion.

The production department had $1,512,630 of direct materials and $991,230 of conversion costs charged to it during April. Also, its beginning inventory of $242,340 consists of $206,850 of direct materials cost and $35,490 of conversion costs.

1&2. Using the weighted-average method, compute the direct materials cost and the conversion cost per equivalent unit and assign April's costs to the department’s output. (Round "Cost per EUP" to 2 decimal places.)

Equivalent Units of Production (EUP)- Weighted Average Method Units % Materials EUP—Materials % Conversion EUP—Conversion Equivalent units of production Cost per Equivalent Unit of Production Materials Conversion Total costs Costs Costs ÷ Equivalent units of production EUP EUP Cost per equivalent unit of production (rounded to 2 decimals) Total Costs to Account for: Total costs to account for: Total costs accounted for Difference due to rounding cost/unit Cost Assignment and Reconciliation Cost of units transferred out EUP Cost per EUP Total cost Direct materials Conversion Total costs transferred out Costs of ending work in process EUP Cost per EUP Total cost Direct materials Conversion Total cost of ending work in process Total costs accounted for

Answer 1

Equivalent units of production (EUP)- weighted average method
	Units	%Materials	EUP-Materials	%Conversion	EUP-Conversion
Units completed and transferred out	410000	100%	410000	100%	410000
Ending work in process	104000	85%	88400	35%	36400
Total units	514000		498400		446400
Cost per equivalent unit of production			Materials		Conversion
Cost of beginning work in process			206850		35490
Costs incurred this period			1512630		991230
Total costs		Costs	1719480	Costs	1026720
÷ Equivalent units of production		EUP	498400	EUP	446400
Cost per equivalent unit of production			3.45		2.30
Total costs to account for:
Direct materials, Prior period	206850
Direct materials, Current period	1512630
Conversion costs, Prior period	35490
Conversion costs, Current period	991230
Total costs to account for	2746200
Total costs accounted for	2746200
Difference due to rounding cost/unit	0
Cost assignment and Reconciliation:
Cost of units transferred out	EUP	Cost per EUP	Total cost
Direct materials	410000	3.45	1414500
Conversion	410000	2.30	943000
Total cost transferred out				2357500
	EUP	Cost per EUP	Total cost
Cost of ending work in Process
Direct materials	88400	3.45	304980
Conversion	36400	2.30	83720
Total Cost of ending work in Process				388700
Total cost accounted for				2746200