Pacific Siding Incorporated produces synthetic wood siding used in the construction of residential and commercial buildings. Pacific Siding's fiscal year ends on March 31, and the weighted average method is used for the company's process costing system. Financial results for the first 11 months of the current fiscal year (through February 28) are well below the expectations of management, owners, and creditors. Halfway through the month of March, the chief executive officer (CEO) and the chief financial officer (CFO) ask the controller to estimate the production results for the month of March in the form of a production cost report (the company has only one production department). This report is shown as follows. Data Entry section Unit Information Percent complete Units (board Direct Direct Teet) Materials Labor overhead units in beginning WIP Inventory (all completed this period) 250,000 n/a n/a Units started and completed during the 140,000 100% 100% units started and partially completed during the period 70,000 30 Direct Direct Cost Information materials labor Overhead Costs in beginning WIP Inventory $76,000 $90,000 $150,000 Costs incurred during the period 55,000 75,000 135,000 n/a period 100% 40 60 Units to be accounted for: Units in beginning WIP inventory Units started during the period Total units to be accounted for Units 250,000 210,000 460,000 Equivalent Units Physical Direct Direct Units Materials Labor Overhead 390,000 390,000 390,000 390,000 70,000 28,000 42,000 21,000 460,000 418,000 432,000 411,000 Units accounted for: units completed and transferred out Units in ending WIP inventory Total units accounted for Step 2: Summary of costs to Be Accounted for costs to be accounted for: Costs in beginning WIP inventory costs incurred during the period Total costs to be accounted for Direct Direct Materials Labor Overhead Total $ 76,000 $90,000 $150,000 $316,000 55,000 75,000 135,800 265,000 $ 131,000 $165,000 $285,000 $581,000 Step 3: Calculation of cost per Equivalent unit Total costs to be accounted for (a) Total equivalent units accounted for (b) cost per equivalent unit (a) + (b) Direct Direct Materials Labor Overhead Total $ 131,000 $165,000 $285,000 418,000 432,000 411,000 $ 0.3134 $ 0.3819 $ 0.6934 $ 1.3888 Step 4: Assign costs to units Transferred out and Units in Ending WIP Inventory Direct Direct Materials Labor Overhead Total costs assigned to units transferred out $ 122,225 $148,958 $270,438 $541,621 costs assigned to ending WIP inventory 8,775 16,042 14,562 39,379 Total costs accounted for $581,000 Units to be accounted for Units in beginning WIP inventory Units started during the period Total units to be accounted for 250,000 365,000 615,000 Units accounted for Units completed and transferred out Units in ending WIP inventory Total units accounted for 390,000 225,000 615.000 390,000 180,000 570,000 390,000 191,250 581,250 390,000 202,500 592,500 $ Costs to be accounted for Costs in beginning WIP inventory Costs incurred during the period Total costs to be accounted for 76,000 $ 95,000 171,000 $ 90,000 $ 102,000 192,000 $ 150,000 $ 150,000 300,000 $ 316,000 347,000 663,000 $ Cost per Equivalent Unit Total costs to be accounted for Total equivalent units accounted for Cost per equivalent unit 0 0 0$ 0.0000 Costs assigned to units transferred out Costs assigned to ending WIP inventory Total costs accounted for $ 0$ 0 $ 0 $ 0