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 174,240 Completed and transferred to the Mixing Department 407,520 124,160 Inventory, May 1 Materials Conversion Inventory, May 31 ? The May 1 work in process inventory consisted of 132,000 pounds with $137,280 in materials cost and $36,960 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, 322,000 pounds were started into production. The May 31 inventory consisted of 128,000 pounds that were 100% complete with respect to materials and 60% 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 Required 2 >

Answer 1

Beginning work in process units	132000
(+) Units started into production	322000
(-) Ending work in process units	128000
Units transferred out	326000

Required 1 :

	Materials	Conversion
Units transferred out	128000	128000
(+) Ending equivalent units [ Ending units * % Completion ]	326000	195600
Equivalent units of production	454000	323600

Required 2 :

	Materials	Conversion
Beginning work in process	137280	36960
(+) Cost added during the period	407520	124160
Total cost	544800	161120
(/) Equivalent units	454000	323600
Cost per equivalent unit	1.20	0.50

Required 3 :

	Materials	Conversion	Total
Ending equivalent units	326000	195600
(*) Cost per equivalent unit	1.20	0.50
Cost of ending work in process inventory	391200	97389	488589

Required 4 :

	Materials	Conversion	Total
Units transferred out	128000	128000
(*) Cost per equivalent unit	1.20	0.50
Cost of units completed and transferred out	153600	63731	217331