Exercise 1611 The Polishing Department of Major Company has

Exercise 16-11 The Polishing Department of Major Company has the following production and manufacturing cost data for September. Materials are entered at the beginning of the process. od on: Beginning inventory 1,650 units that are 100% complete as o materials and 30% complete as o conversion costs; units started dunng the period are 45,100: ending nventory o 6,400 units 10% complete as to conversion costs. Manufacturing costs: Beginning inventory costs, comprised of $21,700 of materials and $46,895 of conversion costs; materials costs added in Polishing during the month, $229,815; labor and overhead applied in Polishing during the month, $125,900 and $259,240, respectivey. Compute the equivalent units of production for materials and conversion costs for the month of September. Materials Conversion Costs The equivalent units of production compute the unit costs for materials and conversion costs for the month (Round unit costs to 2 decimal places, e-2.25.) Materials Conversion Costs Unit costs Determine the costs to be assigned to the units transferred out and in process. (Round unit costs to 2 decimal places, e.g. 2.25 and final answers to 0 decimal places, e.g. 1,225) Transferred out Ending work in process Click if you would like to Show Work for this question: s Open Show Work Question Attempts: Unlimited SAVE FOR LATER SUBMIT ANSWER

Solution

Calculate equivalent unit of production :

Calculate unit cost :

Determine cost to be assigned :

Transferred out = (10.54+5.38)*40350 = 642372

Ending work in process = (6400*5.38+640*10.54) = 41178

	Physical unit	%	equivalent unit of material	%	Equivalent unit of conversion cost
Unit transferred out	40350	100%	40350	100%	40350
Ending work in process	6400	100%	6400	10%	640
Total			46750		40990