Question

Redan Corporation is a diversified manufacurer of paper products. The company was the weighted average method in its process. the first process, Puling is shown below for the month of September The p r o c es s o Production Data Tons in process, Sept 1: materials 100% complete conversion ON complete Tons started into production during September Tons completed and transferred out Tons in process, Sept 30, material complete conversion 20% complete 430 000 07.000 CostData Work in process inventory, September 1 Materials cost Conversion cost Cost added during September Materials cost Conversion cost $111.000 $64.200 $60.540 $39.190 Complete the following analysis 1. Compute the equivalent units of production for materials and conversion for September 2. Compute the cost per equivalent for materials and conversion for September 3. Compute the cost of ending work in process o ry for materia conversion, and in total for September 4. Compute the cost of its randerred out to the next department for conversion and into for September 5. Prepare a cost reconciliation report for September

Question has 5 parts, please help me response to them correctly

Answer 1

Part 1 : Equivalent Units of Production

Produced No. of Units = 87,000+430,000-47,000 = 470,000

                                    = (Opening WIP + Started Production - Closing WIP)

Closing WIP No. of Units = 47,000

Equivalent Units of Production = No. of Units x DOC %

	Materials	Conversion
Produced & Transferred Out	100	100
Equivalent Units of Production =	470,000	470,000
Closing WIP DOC %	80	20
Equivalent Units of Production =	37,600	9,400
Total Equivalent Units of Production =	507,600	479,400

Part 2 : Cost per equivalent units

	Materials	Conversion
Opening Cost	133,600	64,200
Costs added during the month	680,540	339,190
Total Costs during the month	814,140	403,390
Total Equivalent Units of Production	507,600	479,400
Cost per equivalent unit	$ 1.604	$ 0.841

Part 3 & 4 : Cost of ending WIP & Units transferred out

	Materials	Conversion
Cost per equivalent unit	$ 1.604	$ 0.841
Closing WIP	37,600	9,400
Therefore Cost of Closing WIP	60,307	7,910
Units Transferred Out	470,000	470,000
Therefore Cost of Transferred Out Units	753,833	395,481

Part 5 : Cost Reconciliation

	Material	Conversion	Total
Costs to be accounted For :
Opening WIP	133,600	64,200	197,800
During the Month	680,540	339,190	1,019,730
Total Costs to be Accounted for	814,140	403,390	1,217,530
Cost Accounted For :
Cost of Goods Transferred Out	753,833	395,481	1,149,314
Closing WIP	60,307	7,909	68,216
Total Costs Accounted For	814,140	403,390	1,217,530