Cool Spring Company produces premium bottled water. In the second department, the Bottling Department, conversion costs are incurred evenly throughout the bottling process, but packaging materials are not added until the end of the process.
Costs in beginning Work in process inventory include transferred in costs of $1,700, direct labor of $700, and manufacturing overhead of $330. February data for the Bottling Department follow:

Requirements
1. Compute the Bottling Department equivalent units for the month of February. Use the weighted-average method.
2. Compute the cost per equivalent unit for February.
3. Assign the costs to units completed and transferred out and to ending Work in process inventory.
4. Prepare the journal entry to record the cost of units completed and transferred out.
5. Post all transactions to the Work in process inventory€”Bottling Department T-account. What is the endingbalance?

Transcribed Image Text:

COOL SPRING COMPANY Work in process inventory-Bottling Month Ended February 28, 2013 Physical Units 12,000 S 2,730 Transferred out Physical Dollars Units Dollars Beginning inventory, January 31 (40% complete) Production started: 152,000 S 163,000 134,800 Transferred in Direct materials 30,400 Conversion costs: Direct labor 33,100 Manufacturing overhead 16,300 175,000 s217,330 23,000 S Total to account for Ending inventory, February 28 (70% complete)