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In: Accounting
Ridgecrest Company manufactures plastic storage crates and has the following information available for the month of...
Ridgecrest Company manufactures plastic storage crates and has the following information available for the month of April: Work in process, April 1 (100% complete for materials, 47% for conversion) 23,600 units Direct materials $ 20,000 Conversion cost $ 23,000 Number of units started 49,400 units April costs Direct materials $ 61,800 Conversion cost $ 98,800 Work in process, April 30 (100% complete for materials, 22% for conversion) 17,000 units Required: Using the weighted-average method of process costing, complete each of the following steps: 1. Reconcile the number of physical units worked on during the period. 2. Calculate the number of equivalent units. 3. Calculate the cost per equivalent unit. (Round your answers to 5 decimal places.) 4. Reconcile the total cost of work in process. (Use Cost per Equivalent Unit rounded to 5 decimal places and your final answers to the nearest whole dollar amount.)
Solutions
Expert Solution
| 1 | |||
| Physical units | Physical units | ||
| Beginning Units | 23600 | Units Completed | 56000 |
| Units Started | 49400 | Ending Units | 17000 |
| Total units | 73000 | Total units | 73000 |
| 2 | |||
| Equivalent units of production (EUP) weighted average method | |||
| Physical units | Direct Materials | Conversion | |
| Units completed and transferred out | 56000 | 56000 | 56000 |
| Ending goods in process units | 17000 | 17000 | 3740 |
| Total units | 73000 | 73000 | 59740 |
| 3 | |||
| Cost per equivalent unit of production: | Direct Materials | Conversion | |
| Costs of beginning work in process | 20000 | 23000 | |
| Costs incurred this period | 61800 | 98800 | |
| Total costs | 81800 | 121800 | |
| ÷ Equivalent units of production | 73000 | 59740 | |
| Cost per equivalent unit of production | 1.12055 | 2.03883 | |
| 4 | |||
| Total costs accounted for: | Direct Materials | Conversion | Total cost |
| Units Completed | 62751 | 114174 | 176925 |
| Ending Inventory | 19049 | 7625 | 26674 |
| Total Cost Accounted for | 81800 | 121799 | 203599 |
ekkarill92 answered 8 months agoRelated Solutions
Ridgecrest Company manufactures plastic storage crates and has the following information available for the month of...
Ridgecrest Company manufactures plastic storage crates and has
the following information available for the month of
April:
Work in process, April 1
(100% complete for materials,
44% for conversion)
26,600
units
Direct materials
$
20,000
Conversion cost
$
27,000
Number of units started
54,400
units
April costs
Direct materials
$
60,800
Conversion cost
$
102,800
Work in process, April 30
(100% complete for materials,
22% for conversion)
23,000
units
Required:
Using the weighted-average method of process costing, complete each
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