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During April, the first production department of a process manufacturing system completed its work on 315,000 units of a product and transferred them to the next department. Of these transferred units, 63,000 were in process in the production department at the beginning of April and 252,000 were started and completed in April. April's beginning inventory units were 75% complete with respect to materials and 25% complete with respect to conversion. At the end of April, 85,000 additional units were in process in the production department and were 80% complete with respect to materials and 30% complete with respect to conversion.

The production department had $825,945 of direct materials and $707,955 of conversion costs charged to it during April. Also, its April beginning inventory of $155,675 consists of $131,555 of direct materials cost and $24,120 of conversion costs.

1. Compute the direct materials cost per equivalent unit for April. (Round "Cost per EUP" to 2 decimal places.)
2. Compute the conversion cost per equivalent unit for April. (Round "Cost per EUP" to 2 decimal places.)
3. Using the weighted-average method, assign April’s costs to the department’s output—specifically, its units transferred to the next department and its ending work in process inventory. (Round "Cost per EUP" to 2 decimal places.)

Answer 1

	Unit Information
	Units charged to production:
	Units in begining inventory	63000
	Started During the year	252000
	Closing Inventory	85000
	Units to be accounted for	400000
	Units to be assigned cost:
		Whole Units	Equivalent Units
			Material	Conversion
	Transferred out	315000	315000	315000
	Inventory in process, April	85000	68000	25500
	Total units to be assigned cost	400000	383000	340500
	Costs Information:
1	Cost per Equivalent Unit
		Material
	Cost of beginning Inventory	131555
	Cost during the April	825945
	Total Cost	957500
	No of Equivalnet Units	383000
	Cost per equivalent Units of material	2.50
2	Cost per Equivalent Unit
		Conversion
	Cost of beginning Inventory	24120
	Cost during the April	707955
	Total Cost	732075
	No of Equivalnet Units	340500
	Cost per equivalent Units of material	2.15
3	Costs Assiggned to production
			Material	Conversion
	Inventory in Process Apr 1		131555	24120
	Cost incurred in december		825945	707955
	Total Cost accounted for by roasting dept.		957500	732075
	Cost allocated to completed and partially completed units
			Material	Conversion
	Transferred to packing dept.		787500	677250
			(315000*2.5)	(315000*2.15)
	Inventory in Closing		170000	54825
			(68000*2.5)	(25500*2.15)
	Total cost assigned		957500	732075
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