Weighted Average Method, Single Department Analysis, Uniform Costs

Hatch Company produces a product that passes through three processes: Fabrication, Assembly, and Finishing. All manufacturing costs are added uniformly for all processes. The following information was obtained for the Fabrication Department for June:

Work in process, June 1, had 90,000 units (40 percent completed) and the following costs:

Direct materials $101,400

Direct labor 107,000

Overhead 36,000

During the month of June, 190,000 units were completed and transferred to the Assembly Department, and the following costs were added to production:

Direct materials $215,000

Direct labor 144,000

Overhead 165,000

On June 30, there were 45,000 partially completed units in process. These units were 80 percent complete.

Required:

Prepare a cost of production report for the Fabrication Department for June using the weighted average method of costing. The report should disclose the physical flow of units, equivalent units, and unit costs and should track the disposition of manufacturing costs. Round the cost per equivalent unit to the nearest cent.

Hatch Company

Fabrication Department

Production Report for June

Units to account for:	Number of Units
Units, beginning work in process	90,000
Units started	145,000
Units to account for	235,000

Units accounted for:	Physical Flow	Equivalent Units
Units completed
Units, ending work in process	45,000	36,000
Total units accounted for

Costs to account for:	Manufacturing Costs
Costs, beginning work in process	$ 244,400
Costs added by department	524,000
Total costs to account for	$ 768,400
Cost per equivalent unit	$
Costs accounted for:
Units completed	$
Units, ending work in process
Total costs accounted for	$ 768,400