The following information applies to the questions displayed below Atlantic City Taffy Company produces various kinds of candy, but salt water taffy is by far its most important product The company accumulates costs for its product using process costing Direct material is added at the beginning of the production process, and conversion activity occurs uniformly throughout the process Production Report For August 20x1 Percentage of Completion with Respect to Conversion Equivalent Units Physical Units Direct Material Conversion Work in process, August 1 40,000 80 Units started during August 80,000 Total units to account for 120,000 Units completed and transferred out during August 100,000 100,000 100,000 Work in process, August 31 20,000 30 20,000 6,000 Total units accounted for 120,000 Direct Material Conversion Total Work in process, August 1 $ 42,000 $ 305,280 $ 347,280 Costs incurred during August 96,000 784,400 880,400 Total costs to account for $ 138,000 $ 1,089,680 $ 1,227,680 1 Use weighted average process costing to prepare a schedule of equivalent units Equivalent Units Physical Units Direct Material Conversion Units completed and transferred out during August Work in process, August 31 Total units accounted for 0 Total equivalent units 0 0 2 Use weighted average process costing to compute the costs per equivalent unit Direct Material Conversion Total Total costs to account for $0 Equivalent units Costs per equivalent unit $0 00 3 Use weighted average process costing to compute the cost of goods completed and transferred out during August 4 Use weighted average process costing to compute the cost remaining in the work in process inventory on August 31 Cost Direct material Conversion Total cost of August 31 work in process $0 5 Prepare a journal entry to record the transfer of the cost of goods completed and transferred out during August (If no entry is required for a transaction event, select No journal entry required in the first account field )

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[The following information applies to the questions displayed below.] Atlantic City Taffy Company produces various kinds of candy, but salt-water taffy is by far its

[The following information applies to the questions displayed below.]

Atlantic City Taffy Company produces various kinds of candy, but salt-water taffy is by far its most important product. The company accumulates costs for its product using process costing. Direct material is added at the beginning of the production process, and conversion activity occurs uniformly throughout the process.

Production Report For August 20x1
		Percentage of Completion with Respect to Conversion		Equivalent Units

	Physical Units			Direct Material	Conversion
Work in process, August 1	40,000		80%
Units started during August	80,000

Total units to account for	120,000

Units completed and transferred out during August	100,000			100,000	100,000
Work in process, August 31	20,000		30%	20,000	6,000

Total units accounted for	120,000

	Direct Material		Conversion		Total
Work in process, August 1	$	42,000	$	305,280	$	347,280
Costs incurred during August		96,000		784,400		880,400

Total costs to account for	$	138,000	$	1,089,680	$	1,227,680

1. Use weighted-average process costing to prepare a schedule of equivalent units.

		Equivalent Units
	Physical Units	Direct Material	Conversion
Units completed and transferred out during August
Work in process, August 31
Total units accounted for	0
Total equivalent units		0	0

2.Use weighted-average process costing to compute the costs per equivalent unit.

	Direct Material	Conversion	Total
Total costs to account for			$0
Equivalent units
Costs per equivalent unit			$0.00

3. Use weighted-average process costing to compute the cost of goods completed and transferred out during August.

4. Use weighted-average process costing to compute the cost remaining in the work-in-process inventory on August 31.

	Cost
Direct material
Conversion
Total cost of August 31 work in process	$0

5. Prepare a journal entry to record the transfer of the cost of goods completed and transferred out during August. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)