Question

I have the all the conversion costs right but i cant figure out all of the pulping ones!!

Exercise 4-11 Comprehensive Exercise; Second Production Department-weighted Average Method (L04- 2, L04-3, L04-4, LO4-5) Scribners Corporation produces fine papers in three production departments --Pulping, Drying and Finishing. In the Pulping Department, raw materials such as wood fiber and rag cotton are mechanically and chemically treated to separate their fibers. The result is a thick slurry of fibers. In the Drying Department, the wet fibers transferred from the Pulping Department are laid down on porous webs, pressed to remove excess liquid, and dried in ovens. In the Finishing Department, the dried paper is coated, cut, and spooled onto reels. The company uses the weighted-average method in its process costing system. Data for March for the Drying Department follow: Units 4, eee 8,000 Work in process inventory, March 1 Work in process inventory, March 31 Pulping cost in work in process inventory, March 1 Conversion cost in work in process inventory, March 1 Units transferred to the next production department Pulping cost added during March Conversion cost added during March Percent Completed Pulping Conversion 100% sex 1eex 75% $ 2,860 $ 800 142,400 $ 108,436 $ 34,816 No materials are added in the Drying Department. Pulping cost represents the costs of the wet fibers transferred in from the Pulping Department. Wet fiber is processed in the Drying Department in batches; each unit in the above table is a batch and one batch of wet fibers produces a set amount of dried paper that is passed on to the Finishing Department Required: 1. Compute the Drying Department's equivalent units of production for pulping and conversion in March 2. Compute the Drying Department's cost per equivalent unit for pulping and conversion in March 3. Compute the Drying Department's cost of ending work in process inventory for pulping, conversion, and in total for March 4. Compute the Drying Department's cost of units transferred out to the Finishing Department for pulping, conversion, and in total in March 5. Prepare a cost reconciliation report for the Drying Department for March

Answer 1

1. Equivalent units Equivalent Unit Pulping Conversion cost Physical units Units to be accounted for:- Units Completed & transferred out Ending work in Process, March 31 Total Equivalent Units 142400 8000 150400 142400 8000l 142400 (Given) 60001 1484001 150400 As units are completed and transferred out, these units are 100% complete in regards of all costs. Ending Work in process = units in ending inventory x Percentage completed 8000 x 100% 8000 x 75% 2. Cost Per Equivalent Unit Pulping Conversion Total cost Cost To be accounted For:- Beginning work in process Cost added during month Total Cost Equivalent Units Cost per equivalent unit $ $ $ 2,860 $ 108,436 $ 111,296 $ 150400 0.74 $ (A) (B) (A)/(B) 800$ 34,816 $ 35,616 $ 148400 0.24 $ 3,660 (Given) 143,252 (Given) 146,912 $ 0.98 3. Cost of Ending work in Process Ending work in process :- Pulping Conversion cost Total Cost of Ending Work in Process $ $ 5,920 1,440 (8000 units x $ 0.74) (6000 units X $ 0.24) $ 7,360 4.Cost of Units Transferred out Units Completed & Transferred out:- Pulping Conversion cost Total Cost of units completed & Transferred out $ $ 105,376 34,176 (142400 units x $ 0.74) (142400 units x $ 0.24) 139,552 $ 5.Cost Reconcilliation report Total Cost $ $ 3,660 Calculated in step 2 143,252 Calculated in step 2 146,912 $ Cost accounted for :- Cost of beginning work in process Cost added to production during the period Total cost to be accounted for Cost accounted for :- Cost of Ending work in process Cost of Units Completed & Transferred out Total cost to be accounted for $ $ $ 7,360 Calculated in step 3 139,552 Calculated in step 4 146,912