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Management Accounting - Process Costing, please help! Case 3 The Company BPI is a plastic compounder with two departments: molding and packaging. The company uses

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Case 3 The Company BPI is a plastic compounder with two departments: molding and packaging. The company uses the weighted-average method of process costing. In May, the following information was recorded for the finishing department: Beginning inventory WIP (25% degree of completion) Transferred-in-costs Conversion costs 25 000 units $207 250 $105 000 Units started Units completed Units ending inventory (95% degree of completion) Spoiled units 175 000 125 000 50 000 25 000 Total costs added during the current period: Direct materials Direct labor Manufacturing overhead $1 638 000 $1 589 000 $1 540 000 Cost of units transferred in during current period $1 618 750 Direct material costs are added when production is 90% completed. Conversion costs are added evenly during the process. The inspection point is at the 80% stage of production. Normal spoilage is 10% of all good units that pass inspection. Show that input of costs is equal to output of costs

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