Question

e-Built Problems Required information (The following information applies to the questions displayed below) Mirada Company manufactures handheld calculators and has the following information available for the month of July. Work in process, July 1 (100% complete for materials, 25% for conversion) Direct materials Conversion cost 124,000 units $ 238,000 $ 392,000 Number of units started 218,000 units July costs Direct materials Conversion cost $ 424,000 $ 482,000 Work in process, July 31 (100% complete for materials, 10% for conversion) 142,000 units Required: Using the weighted average method of process costing, complete each of the following steps: 1. Reconcile the number of physical units worked on during the period. 2. Calculate the number of equivalent units. 3. Calculate cost per equivalent unit. 4. Reconcile the total cost of work in process Complete this question by entering your answers in the tabs below.

Answer 1

1) Schedule

	Physical Units		Physical Units
Beginning unit	124000	Unit completed	200000
Unit started	218000	Ending unit	142000
Total units	342000	Total units	342000

2) Equivalent unit

	Physical unit	Equivalent unit
		Direct material	Conversion
Units completed	200000	200000	200000
Ending WIP	142000	142000	14200
Total	342000	342000	214200

3) Cost per equivalent unit

	Direct material	Conversion
Cost per equivalent unit	(238000+424000)/342000 = 1.93567	(392000+482000)/214200 = 4.08030

4) Total Cost of work in process

	Direct material	Conversion	Total
Units completed	387134	816060	1203194
Ending inventory	274865	57940	332805
Total Cost accounted for	661999	874000	1535999