Jordana Woolens is a manufacturer of wool cloth. The information for March is as follows:

Beginning work in process	5,000 units
Units started	10,000 units
Units completed	12,500 units
Beginning work-in-process direct materials	$ 3,000
Beginning work-in-process conversion	$ 1,300
Direct materials added during month	$15,000
Conversion costs during month	$8,500

Beginning work in process was half converted as to labor and overhead. Direct materials are added at the beginning of the process. All conversion costs are incurred evenly throughout the process. Ending work in process was 60% complete.

Required:

Prepare a production cost worksheet using the weighted-average method. Include any necessary supporting schedules to compute (equivalent units, equivalent unit costs, costs transferred out, and costs of ending WIP).

Answer

Answer: PRODUCTION COST WORKSHEET

Flow of production	Physical Units	Direct Materials	Conversion
Work in process, beginning
Started during period
To account for
Units completed
Work in process, ending
Equivalent units

Costs	Totals	Direct Materials	Conversion
Work in process, beginning
Costs added during period
Total costs to account for
Divided by equivalent units
Equivalent unit costs

Assignment of costs
Costs transferred out
Work in process, ending
Direct materials
Conversion
Costs accounted for