Answer:
Using the weighted-average method, compute the direct materials cost and the conversion cost per equivalent unit and assign April's costs to the department's output.
Cost per equivalent unit
Material
$2,35
Conversion
$1,93
TOTAL Cost per equivalent unit
Material
$968.840
Conversion
$697.890
TOTAL
$1.666.730
Explanation:
Material Conversion
Units transferred to the next department 320,000 320,000
Materials 90% 102,000 91,800
Conversion Cost 40% 102,000 40,800
Equivalents Units Production 411,800 360,800
Cost of beginning work in process inventory $ 118.472 $ 48.594
Costs added during the period $ 850.368 $ 649.296
TOTAL COST $ 968.840 $ 697.890
Equivalents Units Production 411.800 360.800
Cost per equivalent unit $2,35 $1,93
Units completed and transferred out:
Equivalent units of production (a) 411.800 360.800
Cost per equivalent unit $968.840 $697.890 $1.666.730
