Answer:
Clopack Company
3. Units completed and transferred to finished goods during the period = 34,500 units
4. The equivalent units of production for materials = 42,300 units
5. The equivalent units of production for conversion = 38,400 units
8. The cost per equivalent unit for materials = $3.75
10. The cost of ending work in process inventory for materials = $29,250
Explanation:
a) Data and Calculations:
T-account:
Work in Process - Mixing Department
Account Titles Debit Credit
June 1 balance 32,000
Materials 141,245
Direct labor 90,500
Overhead 108,000
Transferred to Finished Goods ?
June 30 balance ?
Units Materials Conversion Total
Beginning WIP 4,900 $17,380 $14,620 $32,000
Degree of completion 100% 60%
Started into production 37,400 141,245 198,500 339,745
Total units available 42,300 $158,625 $213,120 $371,745
Ending WIP 7,800 100% 50%
Transferred out 34,500
Equivalent units of production Materials Conversion
Started and completed 34,500 34,500 (100%) 34,500 (100%)
Ending WIP 7,800 7,800 (100%) 3,900 (50%)
Total equivalent units 42,300 38,400
Cost per equivalent unit: Materials Conversion
Total cost of production $158,625 $213,120
Total equivalent units 42,300 38,400
Cost per equivalent unit $3.75 $5.55
Cost assigned to: Materials Conversion Total
Units started and completed $129,375 $191,475 $320,850
Ending Work in Process 29,250 21,645 50,895
Total cost assigned $158,625 $213,120 $371,745
