Question
ABC Company uses weighted average in process costing and has three components in a unit in April: % completed Units Packing Materials Conversion Work in
ABC Company uses weighted average in process costing and has three components in a unit in April:
% completed | ||||
Units | Packing | Materials | Conversion | |
Work in process (WIP) Apr 1 | 2 | 100% | 82% | 90% |
Work in process Apr 30 | 4 | 100% | 80% | ? |
Work in process inventory Apr 1 | $1,700 | $384 | ? | |
Cost added during Apr | 82,000 | $6,000 | $42,000 |
Total cost of units transferred out and ending WIP are $136,008. Cost per equivalent unit for Packing, Materials, & Conversion are $1,550, $120, and $860 respectively. During April, 50 units were completed and transferred out.
Required (Use vertical format):
(a) Compute the WIP amount on Apr 1 for Conversion. (3 marks)
(b) Compute the percentage completed on Apr 30 for Conversion. (3 marks)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started