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Jones Company manufactures a single product and uses process costing (FIFO menthod). The company's product goes through two processing departments, etching and wiring. The following

Jones Company manufactures a single product and uses process costing (FIFO menthod). The company's product goes through two processing departments, etching and wiring. The following activity was recorded in the etching department during July:

Production data:

Units in process, July (materials 60% complete;conversion 30% complete 50,000

Units started into production 500,000

Units in process, July (materials 80% complete;conversion 40% complete) 60,000

Cost data:

Work in process inventory, july 1

materials cost $17,000

Conversion cost $3000

Cost added during july

Materials cost $457,200

Conversion cost $349,300

Materials are added at several stages during etching process. The company uses FIFO method

1) Compute the equivalent usints of production

2) compute the costs per equivalent unit for July

3) Determine the cost of ending work in process inventory and of the units transferred to the Wiring department

4) Prepare a cost reconciliation between the costs determined in 3) above and the cost of the beginning inventory and cost added drung the period

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