Question

The WireOne Company manufactures high-quality coated electrical wire in two departments, Weaving and Coating. Materials are introduced at various points during work in the Weaving Department. After the weaving is completed, the materials are transferred into the Coating Department, where specialty plastic coating is applied. Selected data relating to the Weaving Department during May are given below: 127,000 461,000 60,000 Production data: Kilograms in process, May 1 (materials 100% complete; conversion 80% complete) Kilograms started into production during May Kilograms completed and transferred to Coating Kilograms in process, May 31 (materials 65% complete; conversion 30% complete) Cost data: Work in process inventory, May 1: Materials cost Conversion cost Cost added during May: Materials cost Conversion cost $ 77, 470 $127,000 $727,670 $440,840

PLEASE ONLY SOLVE/SHOW WORK FOR Q3. AND Q.4

Answer 1

• Requirement 3

	Materials	Conversion	Total
Cost of ending WIP Inventory	$55,380	$18,720	$74,100
Cost of units completed & transferred out	$749,760	$549,120	$1,298,880

--Working

	Materials	Conversion
Cost of ending WIP Inventory	=60000*65%*1.42	=60000*30%*1.04
Cost of units completed & transferred out	=528000*100%*1.42	=528000*100%*1.04

• Requirement 4

Costs to be accounted for:
Cost of Beginning WIP Inventory	$         204,470.00
Cost added to production during the period	$     1,168,510.00
Total Cost to be accounted for	$     1,372,980.00
Costs accounted for as follows:
Transferred	$     1,298,880.00
WIP May 31:
Material	$           55,380.00
Conversion	$           18,720.00
Total ending WIP	$           74,100.00
Total Cost	$     1,372,980.00