Question

ZanyBrainy Corporation makes interiocking children's blocks in a single processing department. Direct materials are added at the start of production. Comversion costs are added evenly throughout production. Zanylirainy uses the weighted-average method of process costing. The following information for October 2017 is available (Click the loon to view the equivalent unit information) (Click the loon to view the oost information) Read the requirements Requirement 1. Summarize total oosts to acoount for and calculate cost per equivalent unit for direct materals and conversion costs Begin by summarizing the total costs to account for Conversion Total Direct Costs Production Costs Materials Total costs to account for

Answer 1

Requirement 1

	Total production costs	Direct material	Conversion costs
Beginning work in process	$         20,585.00	$             5,760.00	$             14,825.00
Cost added during period	$         84,065.00	$          25,440.00	$             58,625.00
Total costs to account for	$       104,650.00	$          31,200.00	$             73,450.00

.

	Material	Conversion
Cost per equivalent Unit	$                    0.52	$                   1.30

Working

Statement of Equivalent Units(Weighted average)
				Material		Conversion cost
	Units			Complete %	Equivalent units	Complete %	Equivalent units
Transferred	55,000			100%	55,000	100%	55,000
Closing WIP	5,000			100%	5,000	30%	1,500
Total	60,000			Total	60,000	Total	56,500

.

Cost per Equivalent Units (Weighted average)
COST		Material	Conversion cost	TOTAL
Beginning WIP Inventory Cost		$ 5,760	$ 14,825	$ 20,585
Cost incurred during period		$ 25,440	$ 58,625	$ 84,065
Total Cost to be accounted for		$ 31,200	$ 73,450	$ 104,650
Total Equivalent Units		60,000	56,500
Cost per Equivalent Units		$                   0.52	$                     1.30