Question

Exercise 16-16 Weighted average: Process cost summary LO C3

Elliott Company produces large quantities of a standardized product. The following information is available for the first process in its production activities for March.

Units			Costs
Beginning work in process inventory	3,500		Beginning work in process inventory
Started	35,000		Direct materials	$	4,340
Ending work in process inventory	7,000		Conversion		13,608
							$	17,948
Status of ending work in process inventory			Direct materials added					237,440
Materials—Percent complete	100	%	Direct labor added					221,795
Conversion—Percent complete	35	%	Overhead applied (140% of direct labor)					310,513
			Total costs to account for				$	787,696
			Ending work in process inventory				$	83,356

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

Answer 1

Weighted Auerage Beginning oтр 3500 Unets started 25000 Unite to account 38500 fol Completed 31500 Ending WIP 7000 Units to account 38520 (Balance figure). for Calculation units of equivalent - Material 31500 7000 (7000% 100% Converseon 31 SOO Completed Ending wsp 2450 (7000X 355) 33950 3852r Allocation Begining cost Celesent cost of cost Material 4340 237440 Conversion 13608 532308 (2217957310513 545916 Total cost EU Cost unit 241780 38500 6.28 33950 16008

Total cost per unit - 628 + 16.08. 22:36 Process Cost Completed unets summary & 704340 (31500x 22.36) Ending WIP Matenal - 43960 10800x6:28) Conversion = 39396 (@450X 16:08) Total. 83357 787696