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LenaWriter [7]
3 years ago
11

Haffner Corporation uses the weighted-average method in its process costing system. Data concerning the first processing departm

ent for the most recent month are listed below: Beginning work in process inventory: Units in beginning work in process inventory 500 Materials costs $ 7,800 Conversion costs $ 9,100 Percent complete with respect to materials 85 % Percent complete with respect to conversion 55 % Units started into production during the month 7,000 Units transferred to the next department during the month 6,100 Materials costs added during the month $ 102,700 Conversion costs added during the month $ 184,400 Ending work in process inventory: Units in ending work in process inventory 1,400 Percent complete with respect to materials 60 % Percent complete with respect to conversion 50 % What are the equivalent units for materials for the month in the first processing department
Business
1 answer:
JulsSmile [24]3 years ago
5 0

Answer:

Equivalent units for materials in beginning work process is 6,940 units   Equivalent units for conversion in ending work process is 6,800 units  

Explanation:

Beginning work process:

Equivalent units for materials = 6,100 + (1,400 × 60%) = 6,940 units    Cost per equivalent unit for materials = ($7,800 + $102,700) ÷ 6,940 = 15.92  

Ending work process:

Equivalent units for conversion = 6,100 + (1400 × 50%) = 6,800 units    

Cost per equivalent unit for materials = ($9,100 + $184,000) ÷ 6800 = 28.40    

Cost of ending work in process = (1,400 × 60%) × 15.92219 +(1400 × 50%) × 28.39706

= 33,253 (Rounded off)

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