Question

The following partially completed process cost summary describes the July production activities of the Molding department at Ashad Company. Its production output is sent to the next department. All direct materials are added to products when processing begins. Beginning work in process inventory is 20% complete with respect to conversion.

Equivalent Units of Production	Direct Materials			Conversion
Units transferred out		37,000	EUP		37,000	EUP
Units of ending work in process		4,500	EUP		2,700	EUP
Equivalent units of production		41,500	EUP		39,700	EUP

Costs per EUP	Direct Materials				Conversion
Costs of beginning work in process		$	41,850			$	4,880
Costs incurred this period			431,250				237,290
Total costs		$	473,100			$	242,170

Units in beginning work in process (all completed during July)	4,000
Units started this period	37,500
Units completed and transferred out	37,000
Units in ending work in process	4,500

Prepare its process cost summary using the weighted-average method. (Round "Cost per EUP" to 2 decimal places.)

Costs Charged to Production Total costs to account for Total costs accounted for *Difference due to rounding cost/unit Unit Reconciliation Units to account for Total units to account for Total units accounted for Total units accounted for Equivalent Units of Production (EUP)- Weighted Average Method Units % Materials EUP- Materials % Conversion EUP- Conversion Equivalent units of production Cost per EUP Materials Conversion Total costs Costs Costs ÷ Equivalent units of production EUP EUP Cost per equivalent unit of production Cost Assignment and Reconciliation Costs transferred out EUP Cost per EUP Total cost Direct materials Conversion Total transferred out Costs of ending work in process EUP Cost per EUP Total cost Direct materials Conversion Total ending work in process Total costs accounted for

Answer 1

Costs Charged to Production
Costs of beginning work in process	46730
Costs incurred this period	668540
Total costs to account for	715270
Total costs accounted for	715270
Difference due to rounding cost/unit	0
Unit reconciliation:
Units to account for:
Beginning work in process inventory	4000
Units started this period	37500
Total units to account for	41500
Total units accounted for:
Units completed and transferred out	37000
Ending work in process	4500
Total units accounted for	41500
Equivalent units of production (EUP)- weighted average method
	Units	%Materials	EUP-Materials	%Conversion	EUP-Conversion
Units completed and transferred out	37000	100%	37000	100%	37000
Ending work in process	4500	100%	4500	60%	2700
Equivalent units of production	41500		41500		39700
Cost per equivalent unit of production			Materials		Conversion
Cost of beginning work in process			41850		4880
Costs incurred this period			431250		237290
Total costs		Costs	473100	Costs	242170
÷ Equivalent units of production		EUP	41500	EUP	39700
Cost per equivalent unit of production			11.40		6.10
Cost Assignment and Reconciliation
Cost of units transferred out	EUP	Cost per EUP	Total cost
Direct materials	37000	11.40	421800
Conversion	37000	6.10	225700
Total cost transferred out				647500
	EUP	Cost per EUP	Total cost
Cost of ending work in Process
Direct materials	4500	11.40	51300
Conversion	2700	6.10	16470
Total ending work in process				67770
Total cost accounted for				715270