Problem 5-16 (Algo) Comprehensive ProblemWeighted-Average Method [LO5-2, LO5-3, LO5-4, LO5-5]

Builder Products, Incorporated, uses the weighted-average method in its process costing system. It manufactures a caulking compound that goes through three processing stages prior to completion. Information on work in the first department, Cooking, is given below for May:

Production data:
Pounds in process, May 1; materials 100% complete; conversion 90% complete	74,000
Pounds started into production during May	390,000
Pounds completed and transferred out	?
Pounds in process, May 31; materials 70% complete; conversion 30% complete	34,000
Cost data:
Work in process inventory, May 1:
Materials cost	$ 98,800
Conversion cost	$ 44,000
Cost added during May:
Materials cost	$ 513,830
Conversion cost	$ 242,130

Required:

1. Compute the equivalent units of production for materials and conversion for May.

2. Compute the cost per equivalent unit for materials and conversion for May.

3. Compute the cost of ending work in process inventory for materials, conversion, and in total for May.

4. Compute the cost of units transferred out to the next department for materials, conversion, and in total for May.

5. Prepare a cost reconciliation report for May.

Complete this question by entering your answers in the tabs below.

• Required 1
• Required 2
• Required 3
• Required 4
• Required 5

Compute the cost per equivalent unit for materials and conversion for May. (Round your answers to 2 decimal places.)

• Required 1
• Required 2
• Required 3
• Required 4
• Required 5

Compute the cost of ending work in process inventory for materials, conversion, and in total for May. (Round your intermediate calculations to 2 decimal places.)

• Required 1
• Required 2
• Required 3
• Required 4
• Required 5

Compute the cost of ending work in process inventory for materials, conversion, and in total for May. (Round your intermediate calculations to 2 decimal places.)

Compute the cost of units transferred out to the next department for materials, conversion, and in total for May. (Round your intermediate calculations to 2 decimal places.)

Complete this question by entering your answers in the tabs below.

• Required 1
• Required 2
• Required 3
• Required 4
• Required 5

Prepare a cost reconciliation report for May. (Round your intermediate calculations to 2 decimal places.)

Cost Reconciliation
Costs to be accounted for:
Total cost to be accounted for
Costs accounted for as follows:
Total cost accounted for

	Materials	Conversion	Total
Cost of units completed and transferred out

	Materials	Conversion	Total
Cost of ending work in process inventory

	Materials	Conversion
Cost per equivalent unit

Materials	Conversion
Equivalent units of production