- Case 4-39 Weighted-Average Process Costing; Ethics (9) LO 4-3, (3) 4-4, (3) 4-5. ( 4-6) isclate the causes of pooe poofit performance, manapement is inveatigating the manufacturing operations of cach of its products. leather strips are sewn. punched, and dyed. The belss then ecoler a final finishing stage to conclade the process. Labor and overthead are asplied weightedaverape method to calculate its unit conts. an increase is the relline price of the belis is jutaified. The cost per belt used for planning and control is $5, AS. Fasein. costs included in the inventory on October 1 were as follows: Leather strips 5700 Duckles 260 Converyion conts 200 Totial 31 eocsisted of 1,000 belts, which were 30 percent eemplete as to convenion. The costs charped to prodoction durine Ostoter were as foclows. Leather strips Euckles Comersion costs Total $19.900 5250 30.700 Recuirec: the following amounts for the month of Octobet 1. The equivalent bnits for material and comversion. 2. The eost per equivalent unis of material and comersico. plaaning and control. several attempts to refuce corvenion costs, they have temained move oe less eonstant. Now the prodaction masager is faced with an opowenine increase the number of equivalent wnits. Then the unit combersion cost will be a limte lower. situation, citing specific ethical standards for manxperial acoountants. (These ethical standands are listed an p9. 27 and 28 .)