Maverick Corporation uses the weighted-average method in its process costing system

Maverick Corporation uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month are listed below.

Work in process, beginning:
Units in beginning work-in-process inventory 400
Materials costs $6,900
Conversion costs $2,500
Percent complete for materials 80%
Percent complete for conversion 15%
Units started into production during the month 6,000
Units transferred to the next department during the month 5,600
Materials costs added during the month $112,500
Conversion costs added during the month $210,300
Ending work in process:
Units in ending work-in-process inventory 800
Percentage complete for materials 70%
Percentage complete for conversion 30%

Required: Calculate the equivalent units for materials for the month in the first processing department.

Click here for the solution: Maverick Corporation uses the weighted-average method in its process costing system

3-43 (Process costing equivalent units, product cost) The information below pertains to October production at Zippy Company's bottling plant, which produces and bottles sports drinks

3-43 (Process costing equivalent units, product cost) The information below pertains to October production at Zippy Company's bottling plant, which produces and bottles sports drinks. Each unit consists of a case of 12 bottles.
Units Materials Conversion
Work in progress Oct 1 2,000 70% complete 60% complete
Started in October 10,000
To Account for 12,000
Completed and transferred out 8,000 100% complete 100% complete
Work in progress Oct 30 4,000 40% compete 25% complete
Accounted for 12,000
Costs beg of Oct $1,050 $3,240
Added during Oct 8,200 22,620
To be accounted for $9,250 $25,860
* a) Using the weighted-average method, determine the number of equivalent units of production for materials and conversion during October.
* b) Determine the cost per equivalent unit for materials and conversion for October and the total cost per equivalent unit.
* c) Determine whether the cost per equivalent unit for materials and conversion increased or decreased from the previous month.

Also compute the cost of goods completed and Transferred out and cost of WIP ending inventory.

Click here for the solution: 3-43 (Process costing equivalent units, product cost) The information below pertains to October production at Zippy Company's bottling plant, which produces and bottles sports drinks