Question

Weston Products manufactures an industrial cleaning compound that goes through three processing departments-Grinding, Mixing, and Cooking. All raw materials are introduced at the start of work in the Grinding Department. The Work in Process T-account for the Grinding Department for May is given below. Work in Process Grinding Department Inventosy, May 1 491,780 Completed and transferred to the Mixing Department Materials 859,040 Conversion 535.175 Inventory, May 31 The May 1 work in process Inventory consisted of 134,000 pounds with $300,160 in materials cost and $191,620 in conversion cost. The May 1 work in process inventory was 100% complete with respect to materials and 30% complete with respect to conversion During May, 349,000 pounds were started into production. The May 31 inventory consisted of 47,000 pounds that were 100% complete with respect to materials and 70% complete with respect to conversion. The company uses the weighted average method in its process costing system. Required: 1. Compute the Grinding Department's equivalent units of production for materials and conversion in May. 2. Compute the Grinding Department's costs per equivalent unit for materials and conversion for May. 3. Compute the Grinding Department's cost of ending work in process inventory for materials, conversion, and in total for May. 4. Compute the Grinding Department's cost of units transferred out to the Mixing Department for materials, conversion, and in total for May. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute the Grinding Department's equivalent units of production for materials and conversion in May. Materials Conversion Equivalent units of production

Answer 1

Solution: 1.Equivalent units of production- weighted average Materials EUP- Materials % conversion EUP- conversion Units a*b a*c a C Units completed and transferred out 134000+349000-47000 Units of ending goods in process Equivalent units of production 436,000 100% 436,000 100% 436,000 47.000 32.900 100% 47.000 70% 468,900 483,000 483,000 2.Cost per equivalent unit of production Cost of beginning goods in proc ess Costs incurred this period Materials conversion 300160 191,620 535, 175 859040 Costs 1159200 Costs 483,000 EUP Total costs 726795 Equivalent units of production Cost per equivalent unit of production (rounded to 2 decimals) 468,900 EUP 2.40 1.55 Cost per E UP 3.Costs of ending goods in process Direct materials Total cost EUP 47,000 2.40 112,800 conversion 32,900 1.55 50,995 163,795 Total cost of ending goods in process 3.Cost of units transferred to mixing dept: Cost per Total cost EUP EUP Direct materials 1,046,400 675,800 436,000 2.40 conversion 436, 000 1.55 Total costs transferred out 1,722,200