Equivalent Units of Predution and Related Costs The charges

Equivalent Units of Predution and Related Costs The charges to Work n Process-Baking Departent for a period as well a formation conceming production are as follows. The Baking Deprtment uses the average cost method, and all direct materials are placed in process during production Work in Process Baking Department ,700 to Finished Goods, 14,400 unts Direct materials 14,600 units Direct labor 8.83 2.200 .ras, 70% completed d required, round cost per equivalent uni answer to two decinal place Cetermine the rumber of whole units to be accounted for and to be assignec 16,600 units b. Determine the rumber of equlvalent units of production 15,940 units per equvalent unit 4 Determine the cost of the unts transdfered to Finished Goods e Determine the cost of units in ending Work in Pracess enre stane during the l the end of the during he Previous

Solution

c Cost per equiva;ent unit = (6700+71540+38837+20007)/15940= $8.6 d Cost of units transferred = 14400*8.6= $123840 e Cost of units in ending work in process = 2200*70%*8.6= $13244