17-33 Transferred-in costs, weighted average method (related to 17-30 to 17-32). Larsen Company, as you know, is a manufacturer of car seats. Each car seat passes through the assembly department and test- ing department. This problem focuses on the testing department. Direct materials are added when the test ing department process is 90% complete. Conversion costs are added evenly during the testing department's process. As work in assembly is completed, each unit is immediately transferred to testing. As each unit is completed in testing, it is immediately transferred to Finished Goods. Larsen Company uses the weighted average method of process costing. Data for the testing depart- ment for October 2012 are as follows: ASSIGNMENT MATERIAL 641 Direct Conversion Materials Costs 0 $ 835,460 Physical Units Transferred-In (Car Seats) Costs Work in process, October 1" 7,500 $2,932,500 Transferred in during October 2012 ? Completed during October 2012 26,300 Work in process, October 31 3,700 Total costs added during October 2012 $7,717,500 Degree of completion transferred-in costs, 7%; direct materials, 7%; conversion costs, 70% Degree of completion: transferred in costs, 7%; direct materials, 7%: conversion costs, 60% $9,704,700 $3,955,900 1. What is the percentage of completion for (a) transferred-in costs and direct materials in beginning work-in. Required process inventory, and (b) transferred-in costs and direct materials in ending work-in-process inventory? 2. For each cost category, compute equivalent units in the testing department Show physical units in the first column of your schedule. 3. For each cost category, summarize total testing department costs for October 2012, calculate the cost per equivalent unit, and assign total costs to units completed (and transferred out) and to units in end- ing work in process 4. Prepare journal entries for October transfers from the assembly department to the testing department and from the testing department to Finished Goods