Question

The Maring Department of Foods for You had 65,000 equivalent units of materials for October Of the 65,000 units, 45,000 units were completed and transferred to the next department, and 20.000 units were 55% complete Foods for You's costs per equivalent unit of production are $1.20 for direct materials and 50 80 for conversion costs All of the materials are added at the beginning of the process Conversion costs are added evenly throughout the process and the company uses the weighted average method Calculate the cost of the 45,000 units completed and transferred out and the 20,000 units, 55% complete in the ending Work in Process Inventory Foods for You Production Cost Report - Mixing Department (Partial) Month Ended October 31 Direct Conversion Materials Costs Total Costs COSTS Costs accounted for Completed and transferred out 54,000 35750 Ending work-in-oroc 8 800 Total costs accounted for 2000 44550

Answer 1

Material
Description	Transferred out	Ending inventory	Total
Units	45,000	20,000	65,000
Completion status	100%	100%
Equivalent units	45,000	20,000	65,000
Cost per equivalent unit	$                 1.20	$                  1.20
Labor
Description	Transferred out	Ending inventory	Total
Units	45,000	20,000	65,000
Completion status	100%	55%
Equivalent units	45,000	11,000	56,000
Cost per equivalent unit	$                 0.80	$                  0.80
Calculation of cost of goods sold
	Material	Labor	Total
Equivalent units	45,000	45,000
Cost per equivalent unit	$                 1.20	$                  0.80
Total cost	$            54,000	$              36,000	$      90,000
Calculation of ending inventory
	Material	Labor	Total
Equivalent units	20,000	11,000
Cost per equivalent unit	$                 1.20	$                  0.80
Total cost	$            24,000	$                8,800	$      32,800