Question

Elliott Company produces large quantities of a standardized product. The following information is available for its production activities for March Units Beginning work in process inventory Started Ending work in process inventory Costs 2,000 Beginning work in process inventory 20,000 Direct materials 5,000 Conversion $2,500 6,360 Status of ending work in process inventory Materials Percent complete Conversion Percent complete Direct materials added 100% Direct labor added 35% Overhead applied (140% of direct labor) Total costs to account for Ending work in process inventory $ 8,860 168,000 199,850 279,790 $656,500 $ 84,118 Prepare a process cost summary report for this company showing costs charged to production, unit cost information, equivalent units of production, cost per EUP, and its cost assignment and reconciliation. Use the weighted average method. (Round "Cost per EUP" to 2 decimal places.)

Answer 1

UNITS TO ACCOUNT FOR:
Beginning Work in Process units					2,000
Add: Units Started in Process					20,000
Total Units to account for:					22,000
UNITS TO BE ACCOUNTED FOR:
Units completed and transferred out					17,000
Ending Work in Process					5,000
Total Units to be accounted for:					22,000
Equivalent Units:
			UNITS	Material Cost		Conversion
				% Completion	Units	% Completion	Units
Units complted				100%	17,000	100%	17,000
Ending Work in Process				100%	5,000	35%	1,750
Total Equivalent units					22,000		18,750
TOTAL COST TO ACCOUNT FOR:
				Material		Conversion
Beginning work in Process				2,500		6,360
Cost Added during May				168,000		479,640
Total Cost to account for:				170,500		486,000
Equivalent Units				22,000		18,750
Cost per Equivalent unit				7.75		25.92
TOTAL COST ACCOUNTED FOR:
Units completed and Transferred out (17000 units)
				Equivalent unit	Cost per EU	Total Cost
Material				17,000	7.75	131750
Conversion Cost				17,000	25.92	440640
Total Cost of Units completed and transferred out:						572390
Ending Work in process (5000 units)
				Equivalent unit	Cost per EU	Total Cost
Material				5,000	7.75	38750
Conversison Cost				1,750	25.92	45360
Total cost of Ending Work in process:						84,110