Question

Exercise 16-11 (Part Level Submission) The Polishing Department of Major Company has the following production and manufacturing cost data for September. Materials are entered at the beginning of the process. Production: Beginning inventory 1,520 units that are 100% complete as to materials and 30% complete as to conversion costs; units started during the period are 41,300; ending inventory of 7,300 units 10% complete as to conversion costs. Manufacturing costs: Beginning inventory costs, comprised of $21,600 of materials and $12,585 of conversion costs; materials costs added in Polishing during the month, $182,223; labor and overhead applied in Polishing during the month, $127,700 and $257,740, respectively. (a) Your answer is correct. Compute the equivalent units of production for materials and conversion costs for the month of September. Materials Conversion Costs The equivalent units of production Click if you would like to Show Work for this question: Open Show Work SHOW SOLUTION SHOW ANSWER LINK TO TEXT Attempts: 1 of 3 used (b) Your answer is correct. Compute the unit costs for materials and conversion costs for the month. (Round unit costs to 2 decimal places, e.g. 2.25.) Materials Conversion Costs Unit costs $ $ (c) Your answer is incorrect. Try again. Determine the costs to be assigned to the units transferred out and in process. (Round unit costs to 2 decimal places, e.g. 2.25 and final answers to 0 decimal places, e.g. 1,225.) Transferred out $ Ending work in process $

Answer 1

• Requirement [a] and [b] are CORRECT
• Requirement [c]

Transferred out = $ 559,085

Cost of Units Transferred Out	EUP	Cost per EUP	Total Cost
- Direct Materials	35,520	$                      4.76	$        169,075.20
- Conversion	35,520	$                    10.98	$        390,009.60
Total Cost transferred Out				$            559,084.80

Ending Work in Process = $ 42,763

Cost of ending WIP	EUP	Cost per EUP	Total Cost
- Direct Materials	7,300	$                      4.76	$          34,748.00
- Conversion	730	$                    10.98	$             8,015.40
Total cost of ending WIP				$              42,763.40