Question

Exercise 3-8 (Video) The Blending Department of Luongo Company has the following cost and production data for the month of April. Costs: Work in process, April 1 Direct materials: 100% complete $101,000 Conversion costs: 20% complete 70,700 Cost of work in process, April 1 $171,700 Costs incurred during production in April Direct materials $808,000 Conversion costs 368,650 Costs incurred in April $1,176,650 Units transferred out totaled 17,170. Ending work in process was 1,010 units that are 100% complete as to materials and 40% complete as to conversion costs Compute the equivalent units of production for (1) materials and (2) conversion costs for the month of April. Materials Conversion Costs The equivalent units of production

Answer 1

B G E F Conversion costs 17,170 w N 4 404 6 17,574 А C D 1 Direct materials Units transferred out 17,170 3 Ending work in process: 1,010*100% 1,010 5 1,010*40% Equivalent units of production 18,180 7 8 Direct materials 9 Beginning work in process costs $101,000 10 Cost incurred during April month 808,000 11 Total costs $909,000 12 Equivalent units of production 18,180 13 Unit costs $50 14 Cost assigned to units transferred out 16 Direct materials: 17,170*50 $858,500 17 Conversion costs: 17,170*25 429,250 18 Transferred out $1,287,750 19 20 Cost assigned to units in ending work in process 21 Direct materials: 1,010*50 $50,500 22 Conversion costs: 404*25 10,100 23 Ending work in process $60,600 24 Conversion costs $70,700 368,650 $439,350 17,574 $25 15