Question

Vista Vacuum Company has the following production information for the month of March. All materials are added at the beginning of the manufacturing process.   

Units

• Beginning inventory of 3,300 units that are 100 percent complete for materials and 24 percent complete for conversion.
• 15,000 units started during the period.
• Ending inventory of 3,400 units that are 13 percent complete for conversion.

Manufacturing Costs

• Beginning inventory was $21,100 ($10,400 materials and $10,700 conversion costs).
• Costs added during the month were $29,500 for materials and $47,700 for conversion ($28,300 labor and $19,400 applied overhead).

Assume the company uses Weighted-Average Method.

Required:
1. Calculate the number of equivalent units of production for materials and conversion for March.
2. Calculate the cost per equivalent unit for materials and conversion for March.
3. Determine the costs to be assigned to the units transferred out and the units still in process.

Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Calculate the number of equivalent units of production for materials and conversion for March. Physical Units Equivalent Units Direct Conversion Materials Units Completed Ending Inventory Total

Answer 1

1.

		Equivalent units
	Physical units	Direct material	Conversion
Units completed (3,300+15,000-3,400)	14,900	14,900	14,900
Ending inventory	3,400	3,400	442 (3,400*13%)
Total	18,300	18,300	15,342

2.

	Direct material	Conversion
Beginning inventory	$10,400	$10,700
Cost added during the month	29,500	47,700
Total costs	$39,900	$58,400
Equivalent units	18,300	15,342
Cost per equivalent units	$2.18033	$3.80654

3.

	Direct material	Conversion	Total cost
Units completed	$32,487 (14,900*$2.18033)	$56,717 (14,900*$3.80654)	$89,204
Ending inventory	7,413 (3,400*$2.18033)	1,683 (442*$3.80654)	9,096
Total cost accounted for	$39,900	$58,399	$98,300