Part V. (16 Points).

Refer to the following information about the Finishing Department in the Davidson Factory for the month of June. Davidson Factory uses the weighted-average method of inventory costing.

Beginning Work in Process inventory:

Physical units... 5,000 units

% complete for materials. 70%

% complete for labor and overhead. 25%

Materials cost from May.. $7,350

Labor and overhead cost from May. $3,125

Product started and completed:

Physical units 40,000 units

Ending Work in Process inventory:

Physical units.... 4,000 units

% complete for materials. 40%

% complete for labor and overhead. 10%

Manufacturing costs for June:

Materials $96,975

Labor and overhead... $79,470

Compute the equivalent cost per unit for direct materials, direct labor and overhead for June.

Part VI. (24 Points).

Port Manufacturing Company uses a process costing system. Materials are added at the beginning of the process. Direct labor and overhead are added evenly throughout the process. The company uses monthly reporting periods for its weighted-average process costing. The following are the operating and cost data information for October.

The October 1 beginning Work in Process Inventory consisted of 20,000 units. The costs for this inventory are $82,500 of direct materials, $24,400 of direct labor, and $48,800 of factory overhead. Factory overhead is applied at 200% of direct labor cost.

In addition to the beginning inventory costs, the company issued the following costs into Work in Process Inventory; direct materials, $240,000; direct labor, $68,000; factory overhead, $136,000.

During October, the company completed and transferred 60,000 units of its product to finished goods. At the end of the month, the Work in Process inventory consisted of 15,000 units that were 40% complete with respect to direct labor and factory overhead and 100% complete with respect to materials.

Prepare the company's process cost summary for October using the weighted average method.