Answer:
total cost per EUP during April:
- materials = $2.58
- conversion costs = $2.16
- total cost per EUP during April = $4.74
total cost of ending WIP = $222,384
total cost of units transferred out = $1,444,346
Explanation:
beginning WIP 60,000 units:
60% complete for materials, so 40% was completed during April (EUP for April = 24,000)
40% complete for conversion costs, so 60% was completed during April EUP for April = 36,000)
total costs of beginning WIP:
materials $118,472
conversion costs $48,594
240,000 units were started and completed
total costs incurred during April:
materials $850,368 (EUP = 240,000)
conversion costs $649,296 (EUP = 240,000)
ending WIP 82,000 units:
80% complete for materials (EUP = 65,600)
30% complete for conversion costs (EUP = 24,600)
total cost per EUP during April:
materials = $850,368 / (24,000 + 240,000 + 65,600) = $2.58
conversion costs = $649,296 / (36,000 + 240,000 + 24,600) = $2.16
total cost per EUP during April = $4.74
total cost of ending WIP = (65,600 x $2.58) + (24,600 x $2.16) = $222,384
total cost of units transferred out = (240,000 x $4.74) + (24,000 x $2.58) + (36,000 x $2.16) + $118,472 + $48,594 = $1,444,346
