PART 4 Process Costing - Weighted Average General Information O The I See The Light Company has a related company that produces the figurines. They use process costing 8 in the molding department. The factory overhead is applied at a rate of 50% of direct labor dollars. 4 The material is added at the beginning of the process. The labor and overhead costs are assumed 5 to be added uniformly throughout. 5 7 1 2 3 Month of January Selected information for January is presented below. Note that the applied overhead rate was B 50% of direct labor costs in the molding department. 9. , 1 Molding Department + 5 Goods in-process as of January 1 were 3,500 figurines at a cost of $81,467.50. Of this amount, $5,530.00 was fron raw materials added, $50,625.00 for labor and $25,312.50 for overhead. These 3,500 figurines were assumed to be 7 90.00% complete as to labor and overhead. 6. 3. 1 During January, 25,000 units were started, $40,640.00 of materials and $24,435.00 of labor costs were incurred. 2 8 The 3,500 figurines that were in-process at the end of January were assumed to be 80.00% complete to 4 labor and overhead. 5. 3 All figurines in January passed inspection. 9 MOLDING Physical Flow of Units Work-in-Process - Beginning Units Started this Period Units to Account for Total transferred out Work-in-Process - Ending Total Accounted for Equivalent Units Material (Round to two places, ##,###.##) Equivalent Units Conversion (Round to two places, ##,###.##) Total cost of Material (Round to two places, ##.###.##) Total cost of Conversion (Round to two places, ##.###.##) Total cost to account for (Round to two places, ##.###.##) Cost per equivalent unit of Material (Round to two places, ###.##) Cost per equivalent unit of Conversion (Round to two places, ###.##) Cost of the ending inventory, material and convesion (Round to two places, $###,###.## ) 3,500 units 25,000 units 28,500 units {12.01} 3,500 units {12.02} {12.03} {12.04} $ 46,170.00 {12.05} {12.06} (12.07) {12.08} {12.09} {12.10} Cost of the units transferred, material and convesion (Round to two places, $###,###.## ) {12.11}