Equivalent Units of Production: Average Cost Method

Units of production data for the two departments of Atlantic Cable and Wire Company for July of the current fiscal year are as follows:

	Drawing Department	Winding Department
Work in process, July 1	600 units, 60% completed	200 units, 25% completed
Completed and transferred to next processing department during July	9,600 units	9,350 units
Work in process, July 31	500 units, 60% completed	300 units, 20% completed

Each department uses the average cost method.

a. Determine the number of whole units to be accounted for and to be assigned costs and the equivalent units of production for the Drawing Department.

Whole units	units
Equivalent units of production	units

b. Determine the number of whole units to be accounted for and to be assigned costs and the equivalent units of production for the Winding Department.

Whole units	units
Equivalent units of production	units