EXHIBIT 4-5 Shaping and Milling Department Production Data for May Percent Complete Shaping and Milling Department Units Materials Conversion Beginning work in process inventory 200 55% 30% Units started into production during May 5,000 Units completed during May and transferred to the next department 4,800 100% 100%* Ending work in process inventory 400 40% 25% *We always assume that units transferred out of a department are 100% complete with respect to the processing done in that department. EXHIBIT 4-8 Shaping and Milling Department Cost Data for May Materials Conversion Total Cost of beginning work in process inventory $ 9,600 $ 5,575 $ 15,175 Costs added during the period 368,600 350,900 719,500 $378,200 $356,475 $734,675 Total cost Weighted-Average Method (a separate calculation is made for each cost category in each processing department) Cost of beginning work in process inventory + Cost added during the period Cost per equivalent unit Equivalent units of production Shaping and Milling Department Costs per Equivalent Unit Materials Conversion Cost of beginning work in process inventory $ 9,600 $5,575 Costs added during the period 368,600 350,900 Total cost (a) $378,200 $356,475 Equivalent units of production (see Exhibit 4-6) (b) 4,960 4,900 Cost per equivalent unit (a) = (b) $76.25 $72.75 A B C 1 Chapter 4: Applying Excel 2 3 Data 4 5 Units in process 6 Beginning work in process inventory: Completion with respect to materials 200 7 Completion with respect to conversion 50 % 40 % 8 Costs in the beginning work in process inventory: 9 Materials cost $ 4,750 10 Conversion cost $ 6,543 11 Units started into production during the period 18,600 12 Costs added to production during the period: 13 14 5 Materials cost Conversion cost 15 Ending work in process inventory: 16 17 18 Units in process Completion with respect to materials Completion with respect to conversion $ 871,809 $ 1,521,582 100 70% 50 % If your formulas are correct, you should get the correct answers to the following questions. (a) What is the equivalent units of production for materials? Equivalent units of production for materials 18,740 (b) What is the equivalent units of production for conversion? Equivalent units of production for conversion 18,700 (c) What is the cost per equivalent unit for materials? (Round your answer to 2 decimal places.) Cost per equivalent unit for materials (d) What is the cost per equivalent unit for conversion? (Round your answer to 2 decimal places.) Cost per equivalent unit for conversion (e) What is the cost of the units transferred out? (Round your cost per equivalent unit to 2 decimal plac Cost of units transferred out If your formulas are correct, you should get the correct answers to the following questions. (a) What is the equivalent units of production for materials? Equivalent units of production for materials 18,740 (b) What is the equivalent units of production for conversion? Equivalent units of production for conversion 18,700 (c) What is the cost per equivalent unit for materials? (Round your answer to 2 decimal places.) Cost per equivalent unit for materials (d) What is the cost per equivalent unit for conversion? (Round your answer to 2 decimal places.) Cost per equivalent unit for conversion (e) What is the cost of the units transferred out? (Round your cost per equivalent unit to 2 decimal places.) Cost of units transferred out (f) Which of the following statements are true? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) In the weighted-average method, the percentage completion of beginning inventory has no effect on the equivalent units of production. In the weighted-average method, the percentage completion of beginning inventory has no effect on the cost per equivalent unit. In the weighted-average method, the percentage completion of beginning inventory has no effect on the cost of the units transferred out