Question 2

The following information is available for Department A for the month of July:

Work in process, July 1 (60%complete)5,000 units

Directmaterials$12,000

Conversion$18,000

Total work in process, July1$30,000

Unit started in production duringJuly20,000

Work in process, July 31, (40%complete)2,000

Costs added during the period:

Directmaterials$36,000

Conversion$52,000

Total costs added duringJuly$88,000

Materials are added at the beginning of the process.

Requirements (all answers should be supported by calculation; Round to two decimal places.)

a. Department A's cost per equivalent unit of production for materials using the weighted average method is:

b. Department A's cost per equivalent unit of production for conversion using the weighted average method is:

c. Department A's cost of goods transferred out using the weighted average method is: