5 Required information Use the following information for the

5 Required information Use the following information for the Exercises below. [The following information applies to the questions displayed below. 15 points During April, the production department of a process manufacturing system completed a number of units of a product and transferred them to finished goods. Of these transferred units, 72,000 were in process in the production department at the beginning of April and 288,000 were started and completed in April. April\'s beginning inventory units were 70% complete with respect to materials and 30% complete with respect to conversion. At the end of April, 94,000 additional units were in process in the production department and were 80% complete with respect to materials and 30% complete with respect to conversion. 01:36:21 Exercise 20-9 Weighted average: Costs assigned to output and inventories LO C2 The production department had $1,115,920 of direct materials and $777192 of conversion costs charged to it during April. Also, its beginning inventory of $205,948 consists of $167,920 of direct materials cost and $38,028 of conversion costs. 1&2. Using the weighted-average method, compute the direct materials cost and the conversion cost per equivalent unit and assign April\'s costs to the department\'s output. (Round \"Cost per EUP\" to 2 decimal places.)

Solution

a. Equivalent units of Production (EUP)-Weighted Average Method Units % Materials EUP-Materials % Conversion EUP-Conversion Units completed and transferred out          360,000 100%                  360,000 100%                  360,000 Units in ending work in process            94,000 80%                    75,200 30%                     28,200 Equivalent units of production          454,000                  435,200                  388,200 Working: Units completed from beginning work in process                    72,000 Units started and completed                  288,000 Total Units completed                  360,000 b. Cost per equivalent unit of Production Material Conversion Beginning Work in process $              167,920 $                38,028 Costs incurred during this period $          1,115,920 $              777,192 Total costs Costs $          1,283,840 Costs $              815,220 ÷ Equivalent units of production EUP                  435,200 EUP                  388,200 Cost per equivalent unit of production (rounded to 2 decimal places) $                     2.95 $                     2.10 c. Total costs to account for: Beginning Work in process $              205,948 Costs incurred during the period: Direct Materials $          1,115,920 Conversion costs $              777,192 Total costs to account for $          2,099,060 Total costs accounted for $          2,099,060 Difference due to rounding cost/unit 0 d. Cost assignment and reconciliation EUP Cost per EUP Total Costs Costs of units transferred out Direct Materials          360,000 $              2.95 $          1,062,000 Conversion          360,000 $              2.10 $              756,000 Total costs transferred out $     1,818,000 Cost of ending work in process Direct Materials            75,200 $              2.95 $              221,840 Conversion            28,200 $              2.10 $                59,220 Total Cost of ending work in process $         281,060 Total costs accounted for $     2,099,060