Question

1. Asaya Clothing, Inc., is a manufacturer of winter clothes. It has a knitting department and a finishing department. This exercise focuses on the finishing department Direct materials are added at the end of the process. Conversion costs are added evenly during the process. Asaya uses the weighted average method of process costing. The following information for June 2017 is available. (Click the icon to view the information.) Read the requirements? Requirement 1. Calculate equivalent units of transferred-in costs, direct materials, and conversion costs. (Enter a "0" for any zero balances.) Equivalent Units Physical Units Transferred-In Direct Conversion (tons) Costs Materials Costs Work in process, beginning inventory (June 1) Transferred in during June To account for Completed and transferred out during June Work in process, ending inventory (June 30) Accounted for Equivalent units work done to date Requirement 2. Summarize the total costs to account for, and calculate the cost per equivalent unit for transferred-in costs, direct materials, and conversion costs. Begin by summarizing the total costs to account for. (Enter a "Ofor any zero balances.) Total Transferred-In Direct Production Costs Costs Materials Conversion Costs Total costs to account for Calculate the cost per equivalent unit for transferred-in costs, direct materials and conversion costs. (Round your answers to the nearest cent.) Transferred-In Direct Conversion Costs Materials Costs Divide by (4) Cost per equivalent unit Requirement 3. Assign costs to units completed (and transferred out) and to units in ending work in process. (Enter a "0" for any zero balances. Round your answers to the nearest whole dollar.)

Answer 1

1)

		Equivalent unit
	Physical units	Transferred in cost	Direct material	conversion cost
work in process,beginning inventory	60
Transferred in	145
To account for	205
completed and transferred out	145	145*100%=145	145	145
work in process ,ending inventory	60	60*100%=60	60*0%=0	60*75%= 45
Accounted for	205
Equivalent units work to date		205	145	190

	Total production cost	Transferred in cost	Direct material	conversion cost
work in process,beginning (1)	84000	60000	0	24000
cost added in current period (2)	242875	130500	36250	76125
Total cost to account for	326875	190500	36250	100125

	Transferred in cost	Direct material	conversion cost
cost incurred to date (3)	190500	36250	100125
Equivalent units work to date (4)	205	145	190
Cost per equivalent unit (3/4)	929.27	250	526.97

3).

Assignment of cost	Total production cost	Transferred in cost	Direct material	conversion cost
completed and transferred out	247405	145*929.27= 134744	145*250=36250	145*526.97= 76411
Work in process,ending	79470	60*929.27= 55756	0	45*526.97= 23714
Total cost to account for	326875	190500	36250	100125