Hogarth, Inc., manufactures a product that passes through three processes. During July, the first department transferred 12,000
Question:
Hogarth, Inc., manufactures a product that passes through three processes. During July, the first department transferred 12,000 units to the second department. The cost of the units transferred into the second department was $25,200. Materials are added uniformly in the second process.
The second department had the following physical flow schedule for July:
Units to account for:
Units in beginning work in process (40% complete) 2,000 Units started ff Total units to account for Units accounted for:
Units in ending work in process (50% complete) 4,000 Units completed 4 Total units accounted for 2 Costs in beginning work in process for the second department were materials, $3,200;
conversion costs, $3,120; transferred in, $4,000. Costs added during the month were materials, $16,000; conversion costs, $24,960; transferred in, $20,500.
Required:
1. Assuming the use of the weighted average method, prepare a schedule of equivalent units. F 2. Compute the unit cost for the month.
LO3
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