EXERCISE 4-2 Computation of Equivalent Units-Weighted-Average Method [L02]

Answer :
Materials Conversion
Units transferred to the next department 190,000 190,000
Ending work in process :
Materials : 15000x80% 12000
Conversion : 15000x40% 6000
Equivalent units of production 202,000 196,000

EXERCISE 4-3 Cost per Equivalent Unit-Weighted-Average Method [LO3]

Answer :

Cost : Materials Labor Overhead

Cost of beginning work in process inventory $18,000 $5,500 $27,500
Cost added during the period $238,900 $80,300 $401,500
Total costs (a) $256,900 $85,800 $429,000
Equivalent units of production (b) $35,000 $33,000 $33,000
Cost per equivalent unit (a)/(b) $7.34 $2.6 $13

EXERCISE 4-4 Applying Costs to Units-Weighted-Average Method [LO4]

Answer :
Materials Conversion Total
Ending work in process inventory :
Equivalent units of production (a) 300 100
Cost per equivalent unit (see above) (b) $31.56 $9.32
$1040
0
Units completed and transferred out:
Units transferred to the next department (a) 1300 1300
Cost per equivalent unit (see above) (b) $31.56 $9.32
Cost of units transferred out (a)x(b) $41,028 $12,116
$53,14
4
EXERCISE 4-5 (Appendix 4A) Computation of Equivalent Units-FIFO Methods
[LO5]

Answer :
Materials Conversion
To complete beginning work in process:
Materials : 400 (100%-75%) 100
Conversion : 400 (100%-25%) 300
Units started and completed during the process 42,600 42,600
Ending work in process :
Materials : 500 x 80% complete 400
Conversion : 500 x 30% complete 150
Equivalent units of production 43,100 43,050

EXERCISE 4-6 (Appendix 4A) Cost per Equivalent Unit-FIFO Method [L06]

Answer :

Materials Labor Overhead Total

Cost added during the period (a) $193,320 $62,000 $310,000
Equivalent units of production(b) 27,000 25,000 25,000
Cost per equivalent unit (a)/(b) $7.16 $2.48 $12.4 22.04
EXERCISE 4-7 (Appendix 4A) Applying Costs to units-FIFO Method [LO7]

Answer :
Materials Conversion Total
Ending work in process inventory :
Equivalent units of production(a) 800 200
Cost per equivalent unit (see above) (b) $4.40 $1.30
Cost of ending work in process inventory (a)x(b) $3520 $260 $3780
Units transferred out :
Cost in beginning work in process inventory $2,700 $380 $3080
Cost to complete the units in beginning work
in process inventory :
Equivalent units of production required to
Complete the units in beginning inventory 400 700
Cost per equivalent units(see above) (b) $4.40 $1.30
Cost to complete the units in beginning
Inventory (a)x(b) $1,760 $910 $2670
Cost of units started and completed this period :
Units started and completed this period (a) 7,000 7,000
Cost per equivalent unit (see above) (b) $4.40 $1.30
Cost of units started and completed this
Period (a)x(b) $30,800 $9,100 $39,900
Total cost of units transffered out $45,650