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Thank you in advance! The Assembly Department of Great Motors began September with no work in process inventory. During the month, production that cost $37,243
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The Assembly Department of Great Motors began September with no work in process inventory. During the month, production that cost $37,243 (direct materials, $10,123, and conversion costs, $27,120) was started on 24,000 units. Great completed and transferred to the Testing Department a total of 17,000 units. The ending work in process inventory was 30% complete as to direct materials and 80% complete as to conversion work. Requirement 1. Compute the equivalent units for direct materials and conversion costs. Assembly Department Equivalent Unit Computation Month Ended September 30 Flow of Equivalent Units Direct Conversion Physical Units Flow of Production Materials Costs Units accounted for: Beginning work in process, September 1 Plus: Started in production during September 0 24000 Total physical units to account for 24000 Total equivalent units Requirement 2. Compute the cost per equivalent unit. (For entries with a $0 balance, make sure to enter "0" in the appropriate column. Enter the cost per equivalent unit to two decimal places.) Assembly Department Cost per Equivalent Unit Month Ended September 30 Direct Conversion Materials Costs Cost per equivalent unit Requirement 3. Assign the costs to units completed and transferred out and ending work in process inventory. (Enter quantities first, then the cost per equivalent unit amounts in the same order as calculated in the preceding step.) Assembly Department Month Ended September 30 Assigning Costs Direct Conversion Materials Costs Total Completed and transferred out: Ending work in process: Total costs accounted for Requirement 4. Record the journal entry for the costs transferred out of the Assembly Department to the Testing Department. (Record debits first, then credits. Exclude explanations from any journal entries.) Journal Entry Date Accounts Debit Credit TT Requirement 5. Post all of the transactions in the "Work in Process Inventory-Assembly" T-account. What is the ending balance? (For entries with a $0 balance, make sure to enter "0" in the appropriate column.) Work in Process Inventory-AssemblyStep by Step Solution
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