Production records show that there were 590 units in the beginning inventory, 30% complete, 1,550 units started, and 1,480 units transferred out. The beginning work in process had materials cost of $3,100 and conversion costs of $1,690. The units in ending inventory were 40% complete. Materials are entered at the beginning of the painting process.

Exercise 16-3 ledger of Custer Company has the following work in process account. Work in ProcessPainting 5/1 5/31 5/31 5/31 Balance Materials Labor Overhead 5/31 Balance 4,790 5/31 5,750 3,100 1,350 Transferred out ? ? Production records show that there were 590 units in the beginning inventory, 30% complete, 1,550 units started, and 1,480 units transferred out. The beginning work in process had materials cost of $3,100 and conversion costs of $1,690. The units in ending inventory were 40% complete. Materials are entered at the beginning of the painting process. (a) How many units are in process at May 31? Work in process, May 31 units 440 (b) What is the unit materials cost for May? (Round unit costs to 2 decimal places, e.g. 2.25.) $ The unit materials cost for May 4.56 (c) What is the unit conversion cost for May? (Round unit costs to 2 decimal places, e.g. 2.25.) $ The unit conversion cost for May 4.80 Exercise 16-3 ledger of Custer Company has the following work in process account. Work in ProcessPainting 5/1 5/31 5/31 5/31 Balance Materials Labor Overhead 5/31 Balance 4,790 5/31 5,750 3,100 1,350 Transferred out ? ? Production records show that there were 590 units in the beginning inventory, 30% complete, 1,550 units started, and 1,480 units transferred out. The beginning work in process had materials cost of $3,100 and conversion costs of $1,690. The units in ending inventory were 40% complete. Materials are entered at the beginning of the painting process. (a) How many units are in process at May 31? Work in process, May 31 units 660 (b) What is the unit materials cost for May? (Round unit costs to 2 decimal places, e.g. 2.25.) $ The unit materials cost for May 4.14 (c) What is the unit conversion cost for May? (Round unit costs to 2 decimal places, e.g. 2.25.) $ The unit conversion cost for May 3.52 ------------------------------------------(a) WIP, May 1 Add: Started into production Total units to be accounted for Less: Transferred out WIP, May 31 ---------------------- 590 1,550 2,140 (1,480) 660 units units units units units (b) and (c) Units transferred out WIP, May 31 660 units x 100% 660 units x 40% Total equivalent units Equivalent units Materials Conversion costs 1,480 1,480 WIP, May 1 Add: Costs added Total cost Divide: Total equivalent units Unit costs 660 264 1,744 2,140 Materials $3,100 $5,750 $8,850 2, 140 $4.14 Conversion costs $1,690 $4,450 (Labor + Overhead) $6,140 1,74 4 $3.52 Exercise 16-3 ledger of Custer Company has the following work in process account. Work in ProcessPainting 5/1 5/31 5/31 5/31 Balance Materials Labor Overhead 5/31 Balance 4,790 5/31 5,750 3,100 1,350 Transferred out ? ? Production records show that there were 590 units in the beginning inventory, 30% complete, 1,550 units started, and 1,480 units transferred out. The beginning work in process had materials cost of $3,100 and conversion costs of $1,690. The units in ending inventory were 40% complete. Materials are entered at the beginning of the painting process. (a) How many units are in process at May 31? Work in process, May 31 units 660 (b) What is the unit materials cost for May? (Round unit costs to 2 decimal places, e.g. 2.25.) $ The unit materials cost for May 4.14 (c) What is the unit conversion cost for May? (Round unit costs to 2 decimal places, e.g. 2.25.) $ The unit conversion cost for May 3.52 ------------------------------------------(a) WIP, May 1 Add: Started into production Total units to be accounted for Less: Transferred out WIP, May 31 ---------------------- 590 1,550 2,140 (1,480) 660 units units units units units (b) and (c) Units transferred out WIP, May 31 660 units x 100% 660 units x 40% Total equivalent units Equivalent units Materials Conversion costs 1,480 1,480 WIP, May 1 Add: Costs added Total cost Divide: Total equivalent units Unit costs 660 264 1,744 2,140 Materials $3,100 $5,750 $8,850 2, 140 $4.14 Conversion costs $1,690 $4,450 (Labor + Overhead) $6,140 1,74 4 $3.52