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Boxer Corporation manufactures metal toolboxes. It adds all materials at the beg

ID: 2466314 • Letter: B

Question

Boxer Corporation manufactures metal toolboxes. It adds all materials at the beginning of the manufacturing process. The company has provided the following information:

Beginning work in process (50% complete) 70,000 units

Direct materials $ 120,000

Conversion cost 185,000

Total cost of beginning work in process $ 305,000

Number of units started 120,000 units

Number of units completed and transferred to finished goods 108,000 units

Ending work in process (80% complete):

Direct materials cost incurred $ 250,000

Conversion cost applied $350,000

Total cost added $600,000

Using the weighted averge method of process costing, complete each of the following (SHOW ALL WORK):

A) Reconcile the number of physical units worked on during a period. Begining Units ____ , Units Started ____ , Total Units ____ , Units Completed ____ , Ending Units ____ , Total Units ____

B) Calculate the number of equivalent units. DIRECT MATERIALS Unit Materials ____, Ending Inventroy ____ , Total _____ CONVERSION Unit Materials ____, Ending Inventroy ____ , Total _____

C) Calculate the cost per equivalent units. DIRECT MATERIALS: Beginning Inventory Costs $____ , Current Period Costs $ ____ , Total Costs $ _____ , Equivalent Units _____, Cost per equivalent unit $ _____ CONVERSION: Beginning Inventory Costs $____ , Current Period Costs $ ____ , Total Costs $ _____ , Equivalent Units _____, Cost per equivalent unit $ _____

D) Reconcile the total cost of work in progress. DIRECT MATERIALS: Units Completed $ ____, Ending Inventory $ ____ , Total Cost Accounted For $_____ CONVERSION: Units Completed $ ____, Ending Inventory $ ____ , Total Cost Accounted For $_____

Explanation / Answer

A)

B)

C)

Reconcilation of physical unit: Physical Units Beginning Work in process 70,000.00 No. of units started 120,000.00 Total Units 190,000.00 Units completed and transferred 108,000.00 Ending work in process 82,000.00 Total Units 190,000.00
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