a. Determine the units to be accounted for and units accounted for; then calculate the equivalent units for direct materials, direct labor, and overhead.

b. Calculate the cost per equivalent unit for direct materials, direct labor, and overhead.

c. Assign costs to units transferred out and to units in ending WIP inventory.

d. Confirm that total costs to be accounted for equals total costs accounted for. Note that minor differences may occur due to rounding the cost per equivalent unit in step 3.

e. Explain the meaning of equivalent units.

25. Assigning Costs to Products: Weighted Average Method. Sydney, Inc., uses the weighted average method for its process costing system. The Assembly department at Sydney, Inc., began April with 6,000 units in work-in-process inventory, all of which were completed and transferred out during April. An additional 8,000 units were started during the month, 3,000 of which were completed and transferred out during April. A total of 5,000 units remained in work- in-process inventory at the end of April and were at varying levels of completion, as shown in the following. Direct materials | 40 percent complete Direct labor 30 percent complete Overhead 50 percent complete 26. The following cost information is for the Assembly department at Sydney, Inc., for the month of April. Direct Materials | Direct Labor | Overhead Total Beginning WIP inventory $300,000 $350,000 $250,000 | $900,000Incurred during the month $180.000 $200,000 $170.000 $550,000