Question
Refer to the following information about the Finishing Department in the Davidson Factory for the month of June. Davids on Factory uses the weighted -average
Refer to the following information about the Finishing Department in the Davidson Factory for the month of June. Davids on 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 co st 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 mater ials ..................................................... 40% % complete for labor and overhead ...................................... 10% Manufacturing costs for June: Materials ............................................................................... $96,975 Labor and overhead ................................................ $79,470 Required:
1. Compute equivalent units for direct materials and conversion costs: EUP for DM_____ units, EUP for conversion _____ units.
2.Compute costs per equivalent units for direct materials and conversion costs: Cost per EUP for DM $____ ; Cost per EUP for conversion costs $____
3.Compute the total costs of units completed and transferred out to finished goods during June. Total costs assigned to units completed and transferred out $____
4. Compute total cost of the ending work process Inventory. Direct material cost assigned to ending WIP $______, Conversion costs assigned to ending WIP $_____, And therefore total costs assigned to ending WIP $____
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