Question

picture frames for large retailers. Every picture frame passes through two departm es on the assembly department. The process-costing system at McKnight has a si Data Table Physical Units Direct Conversion (Frames) Materials Costs Work in process, April 1a Started during April 2017 Completed during April 2017 Work in process, April 30 Total costs added during April 2017 aDegree of completion: direct materials, 100 %; conversion costs, 40% Degree of completion: direct materials, 100 %; conversion costs, 15% 60 $1,530 $156 510 450 120 $17,850 $11,544 Print Done number in the input fields and then click Check Answer. Clear All OCT 28

Answer 1

Solution

		Material	Conversion cost
Total Cost to be accounted for		$ 19,380	$ 11,700
Total Equivalent Units		570	468
Cost per Equivalent Units		$                 34.00	$                   25.00

Working

Statement of Equivalent Units(Weighted average)
				Material		Conversion cost
	Units			Complete %	Equivalent units	Complete %	Equivalent units
Transferred	450			100%	450.0	100%	450
Closing WIP	120			100%	120.0	15%	18
Total	570			Total	570.0	Total	468

.

Cost per Equivalent Units (Weighted average)
COST		Material	Conversion cost	TOTAL
Beginning WIP Inventory Cost		$ 1,530	$ 156	$ 1,686
Cost incurred during period		$ 17,850	$ 11,544	$ 29,394
Total Cost to be accounted for		$ 19,380	$ 11,700	$ 31,080
Total Equivalent Units		570	468
Cost per Equivalent Units		$                 34.00	$                   25.00