Practice Chapter 4-Q3

Helox, Inc. manufactures a product that passes through two production processes. A quantity schedule for a recent month for the rst process follows: Quantity Schedule Units to be accounted for: Work in process, May'l (60% materials, 75% conversion cost added last month) 28,000 Started into production 204,000 Total units 232,000 Costs in the beginning workinprocess inventory of the rst processing department were materials, $5,600; and conversion cost, $19,000. Costs added during the month were materials, $88,000; and conversion cost, $454,280. Required: 1. Assume that the company uses the weighted average cost method of accounting for units and costs. Determine the equivalent units for the month for the first process. Transferred to the next process 220,400 -'-' Work in process, May 31 (all materials, 60% 11 600 conversion cost added this month} ' Total units and equivalent units of production 232,000 0 0 2. Compute the costs per equivalent unit for the month for the first process. (Round your answers to 3 decimal places.) Materials Conversion Whole Unit Cost per equivalent unit