Question

#6 ; secdond Conversion answer

Required information (The following information applies to the questions displayed below.) The Carlberg Company has two manufacturing departments, assembly and painting. The assembly department started 10,200 units during November. The following production activity unit and cost information refers to the assembly department's November production activities. Assembly Department Beginning work in process Units transferred out Ending work in process Units 2,500 9,500 3,200 Percent of Direct Materials Added 60% 100% 85% Percent of Conversion 40% 100% 35% $2,483 (includes $964 for direct materials and $1,519 for conversion) Beginning work in process inventory-Assembly dept Costs added during the month: Direct materials Conversion $11,256 $19,721

Answer 1

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	Carberg Company
	Weighted average method
	Costs of units transferred out
	Direct material (9500 units X $1)	$                        9,500
	Conversion (9500 units X $2)	$                      19,000
	Total Costs of units transferred out		$        28,500
	Costs of Ending work - in - process
	Direct material (2720 units X $1)	$                        2,720
	Conversion (1120 units X $2)	$                        2,240
	Total Costs of Ending work - in - process		$          4,960
	Total costs assigned		$        33,460
	Workings:
		Choose numerator	/	Choose denominator
		Total Cost	/	Equivalent units	=	Cost per equivalent unit of production
	Direct material	$                      12,220	/	12,220	=	$                                             1
	Conversion	$                      21,240	/	10,620	=	$                                             2
	Equivalent Units of production - weighted average method	Units	% Materials	EUP - Materials	% Conversion	EUP - Conversion
		(i)	(ii)	(i) X (ii)	(iii)	(i) X (iii)
	Units completed and transferred out	9,500	100%	9,500	100%	9,500
Add:	Ending work - in - process inventory units	3,200	85%	2,720	35%	1,120
	Total EUP	12,700		12,220		10,620
	Total Cost:
	Direct material	$964 + $11256	=	$                           12,220
	Conversion	$1519 + $19721	=	$                           21,240