Transferred-in costs, equivalent-unit costs, working backwards. Ottawa Plastics Corp.

Aeeialesofending workin hast wo processes—extrusion and thermo-assembly. Consider the June 2010 data for physical process, $41,018 units in the thermo-assembly process:

REQUIRED 1. For each cost category, compute equivalent units of work done in the current period.
2. For each cost category, compute equivalent units of work done to complete beginning work-in-process inventory, to start and complete new units, and to produce ending work in process.
3. For each cost category, calculate the percentage of completion of ending work-in-process inventory.
4. Summarize total costs to account for, and assign these costs to units completed (and transferred out) and to units in ending work in process.LO1

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Beginning work in process 16,000 units Transferred in from the Extruding Department during the month 10,000 units Ending work in process 6,000 units Direct materials are added when the process in the Thermo-Assembly Department is 80% complete. Conversion costs are added evenly during the process. Ottawa Plastics uses the FIFO method of process costing. The following information is available: Transferred-in Direct Conversion Costs Materials Costs Beginning work in process Percentage completion of beginning work in process 1 $90,000 $0 $45,000 100% 0% 60% Costs added in current period $58,500 $57,000 $57,200 Cost per equivalent unit of work done in current period $5.85 $2.85 $4.931 INSTRUCTIONS Form pairs of students to complete the following requirements.