Question

automatically. Ch 16 Quiz in Connect i Saved Microsoft Auto Update is ready ! 2 Required information [The following information applies to the questions displayed below.] Part 2 of 2 During April, the first production department of a process manufacturing system completed its work on 335,000 units of a product and transferred them to the next department. Of these transferred units, 67,000 were in process in the production department at the beginning of April and 268,000 were started and completed in April. April's beginning inventory units were 70% complete with respect to materials and 30% complete with respect to conversion. At the end of April, 89,000 additional units were in process in the production department and were 85% complete with respect to materials and 35% complete with respect to conversion. 8 00:57:28 The production department had $960,300 of direct materials and $768,231 of conversion costs charged to it during April. Also, its April beginning inventory of $185,754 consists of $148,455 of direct materials cost and $37,299 of conversion costs. 1. Compute the direct materials cost per equivalent unit for April. (Round "Cost per EUP" to 2 decimal places.) 2. Compute the conversion cost per equivalent unit for April. (Round "Cost per EUP" to 2 decimal places.) 3. Using the weighted average method, assign April's costs to the department's output-specifically, its units transferred to the next department and its ding work in process inventory. (Round "Cost per EUP" to 2 decimal places.)

Answer 1

1.Equivalent units of production

	Units	% material	material	% conversion	conversion
Units completed and trf out	335,000	100%	335,000	100%	335,000
Ending WIP	89,000	70%	62,300	35%	31,150
Equivalent units of production	424,000		397,300		366,150

2. Cost per equivalent units of production

		Material		Conversion
Beg WIP		148,455		37,299
Cost added during the period		960,300		768231
TC	cost	1,108,755	cost	805,530
EUP		397,300		366,150
Cost per EU		2.79		2.2

3.Cost assignment and reconciliation

Cost of unit trf out	EUP	Cost per EUP	Total Cost
DM	335000	2.79	934,650
Conversion	335000	2.2	737,000
TC Trf out			1,671,650
Cost of ending WIP
DM	62,300	2.79	173,817
Conversion	31,150	2.2	68,530
Total cost of ending WIP			242,347
Total costs accounted for			1,913,997

Cost charged to production

Beg WIP	185754
Cost added during the period	1,728,531
Tc to account for	1914285
Total costs accounted for	1913997
Difference due to rounding	288