Banerjee Inc. uses the weighted-average method in its process costing system. The following data concern the operations of the company's first processing department for a recent month.
Work in process, beginning:
Units in process 200
Stage of completion with respect to materials 60%
Stage of completion with respect to conversion 20%
Costs in the beginning inventory:
Materials $756
Conversion $1,508
Units started into production during the month 18,000
Units completed and transferred out 17,700
Costs added to production during the month:
Materials $116,569
Conversion $675,432
Work in process, ending:
Units in process 500
Stage of completion with respect to materials 70%
Stage of completion with respect to conversion 80%
Required:
Using the weighted-average method:
a. Determine the equivalent units of production for materials and conversion costs.
b. Determine the cost per equivalent unit for materials and conversion costs.
c. Determine the cost of units transferred out of the department during the month.
d. Determine the cost of ending work in process inventory in the department.
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