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work Saved Golf World, Incorporated ( GWI ) sells products and services for the sport of golf. One of its key business units specializes in
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Golf World, Incorporated GWI sells products and services for the sport of golf. One of its key business units specializes in the repair and reconditioning of golf carts. GWI enters into contracts with a number of golf clubs throughout the United States in which the clubs send their carts to GWI for a complete reconditioning: motor, frame repair when necessary, and replacement of seat covers and canvas tops. The clubs usually will cycle of their carts through this process each year. Because GWI's business has been growing steadily, it is very important to complete the reconditioning of the carts within a budgeted time and cost. The firm uses weightedaverage process costing to keep track of the costs incurred in the reconditioning process.
GWI's golf cart repair and reconditioning unit has the following information for the month of November, in which carts were started for reconditioning:
Beginning WIP: units, complete for materials and complete for conversion
Current costs:
Direct Materials: $
Conversion: $conversion costs for GWI usually average about $ to $ per unit, based on an average of units completed each month
Ending WIP: units, complete for direct materials and complete for conversion
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Required
Complete the production cost report for the month of November.
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