Question

Required information (The following information applies to the questions displayed below.) 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 Units transferred out Units of ending work in process Equivalent units of production Direct Materials 34,000 EUP 4,500 EUP 38,500 EUP Conversion 34,000 EUP 2,700 EUP 36,700 EUP Costs per EUP Costs of beginning work in process Costs incurred this period Total costs Direct Materials $ 39,750 376,050 $ 415,800 Conversion $ 4,400 197,450 $ 201,850 Units in beginning work in process (all completed during July) Units started this period Units completed and transferred out Units in ending work in process 4,000 34,500 34,000 4,500 Prepare its process cost summary using the weighted average method. (Round "Cost per EUP" to 2 decimal places.)

Answer 1

Answer is given below

Total Costs to Account for: Opening WIP Direct Material Conversion Cost Total Cost to Account for $44,150 $376,050 $197,450 $617,650 $617,650 Total costs accounted for Difference due to rounding cost/unit Unit Reconciliation: Units to account for: Beginning WIP Inventory Units Started During Period Total Units To Account for 4,000 34,500 38,500 Total Units accounted for From Beginning WIP in Inventory Units started and completed during Period Units completed and transferred out Units in Ending WIP Inventory Total Units Accounted for 4,000 30,000 34,000 4,500 38,500 Equivalent Units of Production - Weighted average method EUP % EUP Materials Conversion Conversion 34,000 4,500 100% 60% 34,000 2,700 % Units Materials Units Completed during Period: Units completed and transferred out 34,000 100% Units in Ending WIP Inventory 4,500 100% Total Units To Account for 38,500 Equivalent Units of production Cost per equivalent unit of production Cost from Beginning WIP Inventory Current Period Costs Total cost Costs Equivalent units of production EUP Cost per equivalent unit of production ( rounded to 2 decimal places) 38,500 Materials $39,750 $376,050 $415,800 Costs 38,500 EUP $10.80 36,700 Conversion $4,400 $197,450 $ 201,850 A 36,700 B $5.50 A/B 3 EUP Cost per EUP Total Cost 34,000 34,000 $10.80 $5.50 $367,200 $187,000 Cost Assignment and Reconciliation Total Cost accounted for: Cost of units transferred out Direct Material Conversion Total cost transferred out Costs of ending work in process Direct Material Conversion Total cost of ending Work in process Total Cost assigned $554,200 EUP Cost per EUP Total Cost $10.80 $48,600 $5.50 $14,850 2,700 $63,450 $617,650