Question

The following data (and annotations) for March 2019 are for the work-in-process account of the first of Eyring Company’s four departments used in manufacturing its only product.

Work in Process-Department 1
Beginning balance (3,000 units, 40% complete)
Direct material	$13,350
Conversion costs	5,600
Transferred to department 2: (23,000 units)	(a)
Direct material (24,000 units)	96,000
Direct labor	77,300
Manufacturing overhead	34,700
Ending balance [ (b) units, 25% complete]	(c)

Assuming that Erying uses the weighted average method and that materials are added at the beginning of the process and conversion costs are incurred evenly throughout, solve for the three missing numbers

Answer 1

Beginning work in process			3,000	completed & transferred			23,000
Started during the year			24,000	Ending work in process			4,000
units to be accounted			27,000	units accounted for			27,000
Equivalent units					EUP		EUP
			units	% DM	DM	% CC	CC
completed & transferred			23,000	100%	23,000	100%	23,000
Ending work in process			4,000	100%	4,000	25%	1000
					27,000		24,000
cost per unit
					Materials	CC	total
Beginning work in process cost					13,350	5,600	18,950
cost added during the year					96,000	112000	208,000
total cost					109,350	117,600	226,950
Equivalent units					27,000	24,000
cost per unit					4.05	4.9	8.95
transferred to department			23,000	*	8.95	=		205850
Ending balance
materials			4,000	*	4.05	=	16200
Conversion			1000	*	4.9	=	4900	21100
total								226950
Answers)
A)	205850
B)	4,000	units
C)	21100