The following information applies to questions 7 through 10:

Healthy Brands Granola is produced in two sequential processesMixing and Packaging. During June, the following data was collected for the Mixing department:

Number Materials Labor and Overhead

of Units Percent Completed Percent Completed

Work in process inventory, June 1 8,000 100% 35%

Started into production during June 50,000

Completed and transferred 46,000

Work in process inventory, June 30 12,000 100% 55%

Costs for June: Materials Labor and Overhead

Work in process, June 1 $ 18,500 $ 2,340

Added during the month $112,000 $ 45,000

All materials are added at the beginning of the processi.e., all work-in-process has 100% of required materials.

7. Assuming that the weighted average method is used, what is the materials cost per unit (round your answer, if necessary, to the nearest cent)?

a. $2.60

b. $2.48

c. $2.84

d. $2.25

8. Assuming that the weighted average method is used, what is the conversion cost per unit (round your

answer, if necessary, to the nearest cent)?

a. $.82

b. $.90

c. $.97

d. $.86

9. Ignore your answers to #7 and #8. Assume that the materials cost per unit is $2.50 and the conversion cost per unit is $1.00, using the weighted average method. Which of the following is the correct journal entry to transfer the cost of completed units from the Mixing department to the Packaging department using the

weighted average method?

a. debit WIP-Mixing $161,000; credit WIP-Packaging $161,000

b. debit WIP-Packaging $175,000; credit WIP-Mixing $175,000

c. debit WIP-Packaging $161,000; credit WIP-Mixing $161,000

d. debit WIP-Mixing $175,000; credit WIP-Packaging $175,000

10. Assume again that the materials cost per unit is $2.50 and the conversion cost per unit is $1.00, using the

weighted average method. What are the materials costs and the conversion costs, respectively, in ending

WIP using these weighted average per unit costs?

a. $30,000 and $6,600

b. $20,000 and $2,800

c. $30,000 and $12,000

d. $20,000 and $8,000