1 A Problem 3: Process Costing B C D E F 2 Cool Chips produces condensed in using two processes: Baking and Packaging 3 The company's accountant has produced the following process costing data for February 20YY: 4 5 Cool Chips Process costing data for February 20YY Baking Dept. Packaging Dept. 6 7 Units information (i.e. pounds of product) 8 Beginning Work in progress (WIP) (in pounds) 800 2,000 9 Units started in production this month (in pounds) 10,500 See Baking 10 Units/gallons completed & transferred out during the month 10,300 13,500 11 Completion percentage at end of month: 12 Ending WIP, direct materials added (%) 100% 10% 13 Ending WIP, conversion work performed (%) 50% 75% 14 15 Costs information $ $ 17 Direct materials 18 19 Conversion cost overhead applied 20 16 Beginning WIP, costs added in prior periods: Conversion cost: direct labor Transferred in costs 21 Costs added to process in February 20YY 1,600 9,250 2,400 12,125 1,040 40,000 N/A 33,000 22 Direct materials 23 Conversion cost: direct labor 24 Conversion cost overhead applied 25 26 Required: 27 Using the weighted average method and the template below, 21,000 62,500 35,500 20,000 9,660 67,000 28 prepare the process costing report for the Baking Department for February 20YY 29 30 Cool Chips: Baking Dept Process Costing Report for February 20YY-Weighted Average 32 HE 33 Units 34 Beginning WIP inventory 35 Units started 36 Units to account for 37 Units completed and transferred out 38 Ending WIP inventory 39 Units accounted for Percentage completed Equivalent units Total 24 Direct materials Conversion Direct materials Conversion 40 41 Costs (BWIP costs + Costs Added during period) $ 42 Beginning WIP inventory 43 Costs added this month 44 Total costs in process 45 Cost per equivalent unit (S) 46 47 Cost assignment (Costs per EU x EU) 48 Units completed transferred out 43 Ending WIP inventory 50 Total costs 51 52 50 $