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Weighted Average Method, Nonuniform Inputs, Multiple Departments Benson Pharmaceuticals uses a process-costing system to compute the unit costs of the over- thecounter cold remedies that it produces. It has three departments: Mixing, Encapsulating, and Bottling. In Mixing, the ingredients for the cold capsules are measured, sifted, and blended (materials are thus assumed to be uniformly added throughout the process). The mix is transferred out in gallon containers. The encapsulating department takes the powdered mix and places it in capsules (capsules are necessarily added at the beginning of the process). One gallon of powdered mix converts into 1,500 capsules. After the capsules are filled and polished they are transferred to Bottling, where they are placed in bottles that are then affixed with a safety seal, lid, and label. Each bottle receives 50 capsules During March, the following results are available for the first two departments Mixing Encapsulating Beginning inventories: Physical units 10 gallons 4,000 Costs: Materials Labor Overhead Transferred in $252 $282 $32 $20 $140 208,000 t production: Transferred out Ending inventory 140 gallons 20 gallons 6,000 Costs: Materials Transferred in S3,636 $1,573 Mixing Encapsulating $1,944 $4,618 Labor Overhead Percentage of completion: Beginning inventory Ending inventory 40% 50% 50% 40% Overhead in both departments is applied as a percentage of direct labor costs. In the mixing department, overhead is 200% of direct labor. In the encapsulating department, the overhead rate is 150% of direct labor. Benson Pharmaceuticals - Mixing Department Production Report -Weighted Average Method For the Month of March UNIT INFORMATION COST INFORMATION Physical flow: Costs to account for: Units to accounts for: Total cost to for: Total units to account for: Cost per equivalent unit Units accounted for: Costs accounted for: Transferred Out Total units accounted for: Equivalent units: Total costs accounted for: Total equivalent units: Materials Conversion Materials Conversion Total Pharmaceu Ending WIP Perce of etion Total