Question

E17-31 (similar to) Question Help Trendy Clothing, Inc., is a manufacturer of winter clothes. It has a knitting department and a finishing department. This exercise focuses on the finishing department Direct materials are added at the end of the process. Conversion costs are added evenly during the process. Trendy uses the weighted average method of process costing. The following information for June 2017 is available (Click the icon to view the information.) Read the requirements Requirement 1. Calculate equivalent units of transferred-in costs, direct materials, and conversion costs. (Enter a " for any zero balances) Equivalent Units Physical Units Transferred-In Direct Conversion (tons) Costs Materials Costs Work in process, beginning inventory (June 1) 95 Transferred in during June To account for Completed and transferred out during June Work in process, ending inventory (June 30) Accounted for Equivalent units work done to date 0 Data Table Physical Units Transferred-In Direct Conversion (tons) Costs Materials Costs 95 $ 95,000 $ 0 $ 28,500 100% 0% 40% Work in process, beginning inventory (June 1) Degree of completion, beginning work in process Transferred-in during June Completed and transferred out during June Work in process, ending inventory (June 30) Degree of completion, ending work in process Total costs added during June 100% 180,000 S 0% 50,000 $ 70% 106,000 Print Done

Answer 1

In weighted average method units transferred are assumed to be fully completed in this period only even if it was work in progress in beginning.

Calculation of equivalent units

Particulars	Units	transferred cost	Material	conversion cost
Transferred out	200	200 units (100%)	200 units (100%)	200 units (100%)
Closing inventory	50 units	50 units (100%)	0 units (0%)	35 units (70%)
equivalent units		250 units	200 units	235 units

Feel free to ask any queries..

Also plz upvote it means a lot ... Thank you