Question

Hamilton Processing Company uses a weighted-average process cost system and manufactures a single product—an industrial carpet shampoo and cleaner used by many universities. The manufacturing activity for the month of October has just been completed. A partially completed production cost report for the month of October for the Mixing and Cooking department is as follows.

Prepare a schedule that shows how the equivalent units were computed so that you can complete the Quantities: Units accounted for equivalent units section shown in the production cost report, and compute October unit costs. (Round unit costs to e.o. 2.25.) HAMILTON PROCESSING COMPANY Mixing and Cooking Department Production Cost Report For the Month Ended October 31 Equivalent Units Physical Units Conversion Costs Quantities nits to be accounted for Materials Work in process, October 1 (all materials, 70% conversion costs) Started into production 153,000 173,400 Total units Units accounted for Transfered out Work in process, October 31 (60% materials, 40% conversion costs) 122,400 51,000 173,400 Total units accounted for Costs Materials Costs Total Unit coStS $244,800 $107,100 $351,900 Total Costs Equivalent units Unit costs Costs to be accounted for Work in process, october 1 Started into production $30,600 321,300 $351,9D0 Total costs

Answer 1

					Equivalent units
			physical		Materials		Conversion
Quantities			units				costs
Units to be accounted for
Work in process,October 1			20,400
Started into production			153,000
Total units			173,400
Units accounted for
Transferred out			122,400		122,400		122,400
Work in process,October 31			51,000		30600		20400
total units Accounted for			173,400		153,000		142,800
costs					Materials		Conversion		total
Unit costs
total costs					244,800		107,100		351,900
Equivalent units					153,000		142,800
unit costs					1.6		0.75		2.35
cost to be accounted for
Work in process ,october 1									30,600
Started in production									321,300
total costs									351,900