Question

Following is information about the assembly department of a company: 1. There were 196,100 units in work in process on August 1. With respect to units transferred in, 100% were complete and costs incurred amounted to $125,100. With respect to conversion, 85% f the units were complete and costs incurred amounted to $55,200. 2. 485,200 units were transferred in from the cutting department during August 3. 596,900 units were completed during August and transferred to the finished goods inventory. 4. During August, costs incurred were as follows: $488,070 for units transferred in from cutting, $304,419 for direct materials used, and $141,594 for conversion costs. 5. There are 84,400 units in work in process on August 31. With respect to the units transferred in, 100% are complete and 70% are complete with respect to conversion. Prepare a production cost report. (Round unit costs to 7 decimal places, e.g. 0.1287345 and all other answers to 0 decimal places, e.g. 5,275.) Transferred in Direct Materials Conversion costs Totals be accounted for: Units Work process, Aug. 1 Units transferred in Units accounted for: Transferred out Work process, Aug. 31

Answer 1

Assembly department Weighted average Equivalent Units Conversion costs Tfd. In DM % Units Whole units % Units Units % Opening WIP Units tfd. In Total Units to account for Completed and tfd.out Closing WIP Units accounted for 196100 485200 681300 596900 596900 507365 596900 100 100 85 84400 100 84400 0 0 70 59080 596900 681300 681300 566445 Cost Information Total Costs to account for: Tfd. In Materials Conversion Op. WIP 125100 0 55200 180300 934083 Added during the period 488070 304419 141594 196794 Cost 613170 304419 1114383 566445 EUP 681300 596900 Cost per EUP 0.9 0.51 0.347419432 1.757419432 Costs Accounted for: Completed and tfd. Completed and tfd Materials Conversion Tfd. In Total 596900 0.9 537210 596900 * 0.51 304419 507365*0.3474 176268,46 1017897.46 0 59080 0.3474 Cl. WIP 84400 0.9 75960 20525.54003 96485.54003 304419 Total costs accounted for 613170 196794 1114383 Costs to account for: Total Op. WIP Added during the period 180300 934083 Total costs to account for 1114383 Total Costs Accounted for: Completed and tfd Cl. WIP Tfd. In 1017897.46 75960 Conversion costs 20525.54003 Total costs accounted for 1114383