Question

Required information [The following information applies to the questions displayed below.) Clopack Company manufactures one product that goes through one processing department called Mixing. All raw materials are introduced at the start of work in the Mixing Department. The company uses the weighted average method of process costing. Its Work in Process T-account for the Mixing Department for June follows (all forthcoming questions pertain to June): June 1 balance Materials Direct labor Overhead June 30 balance Work in Process-Mixing Department 28,000 Completed and transferred to Finished Goods 148,905 94,500 112,000 The June 1 work in process inventory consisted of 4,500 units with $15,020 in materials cost and $12,980 in conversion cost. The June 1 work in process inventory was 100% complete with respect to materials and 60% complete with respect to conversion. During June, 37,000 units were started into production. The June 30 work in process inventory consisted of 8,600 units that were 100% complete with respect to materials and 50% complete with respect to conversion.

11. What is the cost of ending work in process inventory for conversion? (Round your intermediate calculations to 2 places.)

12. What is the cost of materials transferred to finished goods? (Round your intermediate calculations to 2 places.)

13. What is the amount of conversion cost transferred to finished goods? (Round your intermediate calculations to 2 places.)

14. Prepare the journal entry to record the transfer of costs from Work in Process to Finished Goods. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

15-a. What is the total cost to be accounted for?

15-b. What is the total cost accounted for?

Answer 1

11
Cost of ending work in process inventory for conversion	25370
12
Cost of materials transferred to finished goods	129955
13
Amount of conversion cost transferred to finished goods	194110
14
General Journal	Debit	Credit
Finished goods inventory	324065
Work in process inventory		324065
15
Total cost to be accounted for	383405
Total cost accounted for	383405
Workings:
Work in Process, Beginning	4500
Add: Units started during June	37000
Less: Ending inventory	-8600
Units completed and transferred out	32900
	Materials	Conversion
Units completed and transferred out	32900	32900
Work in process, ending:
8600 X 100%	8600
8600 X 50%		4300
Equivalent units of production	41500	37200
	Materials	Conversion
Work in process, June 1	15020	12980
Cost added during June	148905	206500
Total costs	163925	219480
Divide by Equivalent units of production	41500	37200
Cost per Equivalent unit	3.95	5.90
	Materials	Conversion	Total
Work in process, ending units	8600	4300
X Cost per Equivalent unit	3.95	5.90
Cost of ending work in process inventory	33970	25370	59340
	Materials	Conversion	Total
Units completed and transferred out	32900	32900
X Cost per Equivalent unit	3.95	5.90
Cost of Units completed and transferred out	129955	194110	324065
Cost Reconciliation:
Cost to be accounted for:
Cost of Beginning work in Process inventory	28000
Cost added during June	355405
Total Cost to be accounted for	383405
Cost accounted for as follows:
Cost of Units completed and transferred out	324065
Cost of ending work in process inventory	59340
Total Cost accounted for	383405