Use the following information for the Exercises below. [The following informatio

Question

Use the following information for the Exercises below.

[The following information applies to the questions displayed below.]

The following partially completed process cost summary describes the July production activities of Ashad Company. Its production output is sent to its warehouse for shipping. All direct materials are added to products when processing begins. Beginning work in process inventory is 20% complete with respect to conversion.

Equivalent Units of Production

Direct Materials

Conversion

Units transferred out

37,500

EUP

37,500

EUP

Units of ending work in process

2,000

EUP

1,200

EUP

Equivalent units of production

39,500

EUP

38,700

EUP

Costs per EUP

Direct Materials

Conversion

Costs of beginning work in process

$

13,450

$

1,860

Costs incurred this period

440,800

238,080

Total costs

$

454,250

$

239,940

Units in beginning work in process (all completed during July)

1,500

Units started this period

38,000

Units completed and transferred out

37,500

Units in ending work in process

2,000

Equivalent Units of Production

Direct Materials

Conversion

Units transferred out

37,500

EUP

37,500

EUP

Units of ending work in process

2,000

EUP

1,200

EUP

Equivalent units of production

39,500

EUP

38,700

EUP

Exercise 20-12 Weighted average: Completing a process cost summary LO C3 Prepare its process cost summary using the weighted-average method. (Round "Cost per EUP" to 2 decimal places.) Costs Charged to Production Total costs to account for Total costs accounted for Difference due to rounding cost/unit Unit Reconciliation Units to account for Total units to account for Total units accounted for Total units accounted for Equivalent Units of Production (EUP)- Weighted Average Method EUP- Conversion Units % Materials EUP-Materials % Conversion Equivalent units of production Cost per EUP Materials Conversion Total costs ÷ Equivalent units of production Cost per equivalent unit of production Costs Costs EUP EUP

Explanation / Answer

Costs charged to production Cost of Beginning Work-in-Process 14310 Costs incurred during the month 678880 Total cost to acount for 693190 Units reconciliation Units to account for Begining Work-in-Process 1500 Started during the period 38000 Total Units to acount for 39500 Units accounted for Finished and transferred out 37500 Ending work-in-process 2000 Total units acounted for 39500 Equivalent units of production (EUP) - Weighted Average Method Materials Conversion Units % EUP % EUP Finished and transferred out 37500 100% 37500 100% 37500 Ending work-in-process 2000 100% 2000 60% 1200 Equivalent Units of Production 39500 38700 Cost per EUP Materials Conversion Beginning Work-in-Process 13450 1860 Costs incurred during the period 440800 238080 Total Costs Costs 454250 Costs 239940 Equivalent units of production EUP 39500 EUP 38700 Cost per EUP 11.50 6.20 Cost Assignment and Reconciliation EUP Cost per EUP Total Cost Costs Transferred out    Direct materials 37500 11.50 431250    Conversion 37500 6.20 232500    Total transferred out 663750 Costs of ending work-in-process    Direct materials 2000 11.50 23000    Conversion 1200 6.20 7440 Total ending work-in-process 30440 Total Costs accounted for 694190

Related Questions

Navigate

• Browse (All)
• Browse U
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.