Question

Exercise 16-16 Weighted average: Process cost summary LO C3 Elliott Company produces large quantities of a standardized product. The following information is available for its production activities for March. Units Beginning work in process inventory Started Ending work in process inventory 2,000 20,000 5,000 Costs Beginning work in process inventory Direct materials Conversion $ 2,500 6,360 Status of ending work in process inventory Materials-Percent complete Conversion-Percent complete Direct materials added 100% Direct labor added 35% Overhead applied (140% of direct labor) Total costs to account for Ending work in process inventory $ 8,860 168,000 199,850 279,790 $656,500 $ 84,110 Prepare a process cost summary report for this company showing costs charged to production, unit cost information, equivalent units of production, cost per EUP, and its cost assignment and reconciliation. Use the weighted average method. (Round "Cost per EUP" to 2 decimal places.) Total Costs to Account for: Costs of beginning work in process Costs incurred this period Total costs to account for: Total costs accounted for Difference due to rounding cost/unit Unit Reconciliation: Units to account for: Total units to account for Total units accounted for: Total units accounted for

Answer 1

Total costs to account for:
Costs of beginning work in process	8860
Costs incurred this period	647640
Total costs to account for	656500
Total costs accounted for	656500
Difference due to rounding cost/unit	0
Unit reconciliation:
Units to account for:
Beginning work in process inventory	2000
Units started this period	20000
Total units to account for	22000
Total units accounted for:
Units completed and transferred out	17000
Ending work in process	5000
Total units accounted for	22000
Equivalent units of production (EUP)- weighted average method
	Units	%Materials	EUP-Materials	%Conversion	EUP-Conversion
Units completed and transferred out	17000	100%	17000	100%	17000
Ending work in process	5000	100%	5000	35%	1750
Total units	22000		22000		18750
Cost per equivalent unit of production			Materials		Conversion
Cost of beginning work in process			2500		6360
Costs incurred this period			168000		479640
Total costs		Costs	170500	Costs	486000
÷ Equivalent units of production		EUP	22000	EUP	18750
Cost per equivalent unit of production			7.75		25.92
Total cost accounted for:
Cost of units transferred out	EUP	Cost per EUP	Total cost
Direct materials	17000	7.75	131750
Conversion	17000	25.92	440640
Total cost transferred out				572390
	EUP	Cost per EUP	Total cost
Cost of ending work in Process
Direct materials	5000	7.75	38750
Conversion	1750	25.92	45360
Total Cost of ending work in Process				84110
Total cost accounted for				656500