Question

Saddleback Company makes camping lanterns using a single production process. All direct materials are added at the beginning of the manufacturing process. Information for the month of March follows:

	Units	Costs
Beginning work in process (30% complete)	121,300
Direct materials		$	199,000
Conversion cost			351,000
Total cost of beginning work in process		$	550,000
Number of units started	250,000
Number of units completed and transferred to finished goods	335,500
Ending work in process (65% complete)	?
Current period costs
Direct materials		$	514,400
Conversion cost			655,000
Total current period costs		$	1,169,400

Required:

1. Using the weighted-average method of process costing, complete each of the following steps:

a. Reconcile the number of physical units worked on during the period.

b. Calculate the number of equivalent units.

c. Calculate the cost per equivalent unit.

d. Reconcile the total cost of work in process.

Reg 14 Req 1B Reg 1C Reg 1D Using the weighted average method of process costing, reconcile the number of physical units worked on during the period. Physical Units Physical Units Beginning Units Units Started Total Units Units Completed Ending Units Total Units 0 Reg 1A Req 1B > Reg 1A Req 1B Req 1C Req 1D Using the weighted average method of process costing, calculate the number of equivalent units. Equivalent Units Direct Materials Conversion Physical Units Units Completed Ending Inventory Total Reg 1A Req 1B Req 1C Reg 1D Using the weighted average method of process costing, calculate the cost per equivalent unit. (Round Cost per Equivalent Unit to 5 decimal places.) Direct Materials Conversion Cost per Equivalent Unit < Req 1B Req 1D Reg 1A Reg 1B Req 1C Req 1D Using the weighted average method of process costing, reconcile the total cost of work in process. (Use Cost per Equivalent Unit rounded to 5 decimal places and round your final answers to the nearest dollar amount.) Direct Materials Conversion Total Cost Units Completed Ending Inventory Total Cost Accounted for S

Answer 1

1. Using the weighted-average method of process costing, complete each of the following steps:

a. Reconcile the number of physical units worked on during the period.

	Physical Units			Physical Units
Beginning units	121300		Units completed	335500
Units started	250000		Ending units	35800
Total units	371300		Total units	371300

Ending units= Total units-Units completed

= 371300-335500= 35800 units

b. Calculate the number of equivalent units.

		Equivalent Units
	Physical Units	Direct Materials	Conversion
Units completed	335500	335500	335500
Ending inventory	35800	35800	(35800*65%)= 23270
Total	371300	371300	358770

c. Calculate the cost per equivalent unit.

	Direct Materials	Conversion
Cost of beginning work in process	$199000	$351000
Current period costs	514400	655000
Total costs	$713400	$1006000
/Equivalent units	371300	358770
Cost per equivalent units	$1.92136	$2.80402

d. Reconcile the total cost of work in process.

	Direct Materials	Conversion	Total
Units completed	(335500*$1.92136)= $644616	(335500*$2.80402)= $940749	$1585365
Ending inventory	(35800*$1.92136)= 68785	(23270*$2.80402)= 65250	134035
Total cost accounted for	$713401	$1005999	$1719400