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QualCo manufactures a single product in two departments: Cutting and Assembly. During May, the Cutting department completed a number of units of a product and transferred them to Assembly. Of these transferred units, 38,500 were in process in the Cutting department at the beginning of May and 160,500 were started and completed in May. May’s Cutting department beginning inventory units were 70% complete with respect to materials and 30% complete with respect to conversion. At the end of May, 52,300 additional units were in process in the Cutting department and were 70% complete with respect to materials and 20% complete with respect to conversion. The Cutting department had $563,382 of direct materials and $435,402 of conversion cost charged to it during May. Its beginning inventory included $75,075 of direct materials cost and $29,493 of conversion cost.

2-4. Using the FIFO method, assign May’s costs to the units transferred out and assign costs to its ending work in process inventory. (Round "Cost per EUP" to 2 decimal places.)

Total costs accounted for: Beginning Inventory Cost: Cost to complete units in beginning inventory EUP Cost per EUP Total cost Direct materials Conversion Total cost to complete beginning inventory Cost of units started and completed EUP Cost per EUP Total cost Direct materials $ 0.00 $ 0.00 Conversion 0.00 0.00 Total cost of units started and completed Total cost of units transferred out Costs of ending work in process EUP Cost per EUP Total cost Direct materials $ 0.00 $ 0.00 Conversion $ 0.00 0.00 Total cost of ending work in process Total costs accounted for

Answer 1

Solution:

Below is the sheet for equivalents units and totl cost accounted for:

Equivalent Units of Production (EUP) - FIFO Method 30% Units % Materials EUP- Materials % Conversion EUP- Conversion 38500 11550 70% 26950 160500 100% 160500 100% 160500 52300 70%) 36610 20% 10460 251300 208660 197910 Materials Conversion $563,382 $435,402 Costs $563,382 Costs $435,402 EUP 208660 EUP 197910 $2.70 $2.20 Working $75,075 + $ 29,493 $104,568.00 Beginning Work in Process - Units Units Started and completed Ending Work in Process - Units Total units Cost per equivalent unit of production Costs incurred this period Total costs Equivalent units of production Cost per equivalent unit of production (rounded to 2 decimals) Total costs accounted for: Beginning Inventory Cost: Cost to complete units in beginning inventory Direct materials Conversion Total cost to complete beginning inventory Cost of units started and completed Direct materials Conversion Total cost of units started and completed Total cost of units transferred out Costs of ending work in process Direct materials Conversion Total cost of ending work in process Total costs accounted for EUP Cost per EUP Total cost 11550 $2.70 $31,185.00 26950 $2.20 $59.290.00 $90,475.00 $31,185 + $59,290 EUP Cost per EUP Total cost 160500 $2.70 $433,350.00 160500 $2.20 $353,100.00 $786,450.00 $981,493.00 $433,350 +$353,100 $104,568 + $90,475 + $786,450 EUP Cost per EUP Total cost 36610 $2.70 $98,847.00 10460 $2.20 $23,012.00 $121,859.00 $1,103,352.00 $98,847 + $ 23,012 $981,493 +$121,859

Working:

In begining Inventory Equivalent units % = 100% - already completed