Polson Enterprises produces strawberry gelato. Output is measured in quarts. Polson uses the weighted average method. During
Question:
Polson Enterprises produces strawberry gelato. Output is measured in quarts. Polson uses the weighted average method. During July, Polson had the following production data:
Units in process, July 1, 60% complete.............................54,000 quarts
Units completed and transferred out..............................360,000 quarts
Units in process, July 31, 40% complete..........................112,500 quarts
Costs:
Work in process, July 1....................................................$ 81,000
Costs added during July....................................................526,500
Required:
1. Using the weighted average method, calculate the equivalent units for July.
2. Calculate the unit cost for July.
3. Assign costs to units transferred out and EWIP.
Step by Step Answer:
Managerial Accounting The Cornerstone of Business Decision Making
ISBN: 978-1337115773
7th edition
Authors: Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger