Question

Required information [The following information applies to the questions displayed below.j $73100consisted of $52.6 tomaterials and25%complete month, theformingde weighted- During the month, the forming department started 430,000 units. At the end of the month, the forming department had 30,000 units in ending inventory, 85% complete as to materials and 35% complete as to conversion, units completed in the forming department are transferred to the painting department. The Fields Company has two manufacturing departments, forming and painting. The company uses the weighted- average method of process costing. At the beginning of the month, the forming department has 31,500 units in inventory, 75% complete as to materials and 25% complete as to conversion costs. The beginning inventory cost of $73,100 consisted of $52,600 of direct materials costs and $20,500 of conversion costs. Cost information for the forming department is as follows: Beginning work in process inventory Direct materials added during the month Conversion added during the month $ 73,100 1,615,450 1,088,920

Answer 1

	Beginning work in process			31,500	Completed & Transferred			431,500
	started during the year			430,000	Ending work in process			30,000
	units to be accounted			461,500	units accounted for			461,500
1)	Equivalent units
				units	% mater	materials	% CC	conversion
	completed & Transferred			431,500	100%	431,500	100%	431,500
	Ending work in process			30,000	85%	25500	35%	10500
	Equivalent units			461,500		457,000		442,000
		Direct materials		457,000
		Conversion		442,000
2)	cost per Equivalent units of production
					Materials	CC	Total
	Beginning work in process				52,600	20,500	73,100
	cost added during the year				1,615,450	1,088,920	2,704,370
	total cost				1,668,050	1,109,420	2,777,470
	Equivalent units				457,000	442,000
	cost per unit				3.65	2.51	6.16
		Direct materials		3.65	per EUP
		Conversion		2.51	per EUP
3)	Cost Assignment and Reconciliation
	Cost of units transferred out				EUP	cost per EUP	Total cost
	Direct Materials				431,500	3.65	1574975
	Conversion				431,500	2.51	1083065
	total costs transferred out							2,658,040
	costs of ending work in process
	Direct Materials				25500	3.65	93075
	Conversion				10500	2.51	26355
	total cost of ending work in process							119,430
	total costs assigned							2,777,470