A company uses the weightedaverage method for inventory cost

A company uses the weighted-average method for inventory costing At the end of the period, 29,000 units were in the ending Work in Process inventory and are 100% complete for materials and 82% complete for conversion The equivalent costs per unit are materials, $2.72, and conversion $2 20 Compute the cost that would be assigned to the ending Work in Process inventory for the period Multiple Choice $131,196 $235,480. $127,862 $207,292 $193,094

Solution

1) Cost of ending work in process = (29000*2.72+29000*82%*2.2) = 131196

So answer is a) $131196

2) Number of equivalent unit = 67000+(18500*60%) = 78100

So answer is d) 78100 Units

3) Number of equivalent unit = 9000+(6000*60%) = 12600

So answer is e) 12600 Units

4) Direct labour = 93000

Factory overhead = 29000+42000 = 71000

So answer is b) $93000 and $71000

5) Answer is a) Debit work in process $88000; debit factory overhead $61000