Ahmadi Corporation uses the weighted-average method in its process costing system. The following data were taken from
Question:
Ahmadi Corporation uses the weighted-average method in its process costing system. The following data were taken from the records of the first processing department for a recent month.
Work in process, beginning:
Units in process
50
Percent complete with respect to materials
60%
Percent complete with respect to conversion
50%
Costs in the beginning inventory:
Materials cost
$6,210
Conversion cost
$16,310
Units started into production during the month
200
Costs added to production during the month:
Materials cost
$42,400
Conversion cost
$136,350
Work in process, ending:
Units in process
40
Percent complete with respect to materials
60%
Percent complete with respect to conversion
50%
Cost per equivalent unit:
Material
$236
Conversion
$730
Required:
Enter the missing numbers, rounded to the nearest whole number.
a.What was the cost of the ending work in process inventory in the department at the end of the month?
Materials
Conversion
Total
Ending work in process inventory:
Equivalent units of production
Cost per equivalent unit
Cost of ending work in process inventory
b. What was the cost of the units completed and transferred to the next department during the month?
Materials
Conversion
Total
Units completed and transferred out:
Units transferred to the next department
Cost per equivalent unit
Cost of units completed and transferred out
c.What are the costs to be accounted for?
Costs to be accounted for:
Cost of beginning work in process inventory
Costs added to production during the month
Total cost to be accounted for
Managerial Accounting Tools for Business Decision Making
ISBN: 978-1118856994
4th Canadian edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso, Ibrahim M. Aly