Answer:
1. Grinding Department's equivalent units of production for materials and conversion in May.
materials : 395,000
conversion : 368,600
2. Grinding Department's costs per equivalent unit for materials and conversion for May.
materials : $2.35
conversion : $1.00
3. Grinding Department's cost of ending work in process inventory for materials, conversion, and in total for May.
materials : $2.35×88,000 = $206,800
conversion : $1.00×61,600 = $ 61,600
Total : = $268,400
4. Grinding Department's cost of units transferred out to the Mixing Department for materials, conversion, and in total for May.
materials : $2.35×307,000 = $ 721,450
conversion : $1.00×307,000 = $ 307,000
Total : = $1,028,450
Explanation:
1. Grinding Department's equivalent units of production for materials and conversion in May.
<u>materials </u>
Closing Work In Process Inventory 100% = 88,000
Completed and Transferred 100% = 307,000
Total = 395,000
<u>conversion </u>
Closing Work In Process Inventory 70% = 61,600
Completed and Transferred 100% = 307,000
Total = 368,600
2. Grinding Department's costs per equivalent unit for materials and conversion for May.
<em>costs per equivalent unit = Total Cost / Total equivalent units</em>
materials = ( $709,250+$219,000)/395,000
= $2.35
conversion = ( $280,600+$88,000)/368,600
= $1.00
3. Grinding Department's cost of ending work in process inventory for materials, conversion, and in total for May.
materials : $2.35×88,000 = $206,800
conversion : $1.00×61,600 = $ 61,600
Total : = $268,400
4. Grinding Department's cost of units transferred out to the Mixing Department for materials, conversion, and in total for May.
materials : $2.35×307,000 = $ 721,450
conversion : $1.00×307,000 = $ 307,000
Total : = $1,028,450
