Cost of Units Completed and in Process
The charges to Work in Process—Assembly Department for a period,together with information concerning production, are as follows.All direct materials are placed in process at the beginning ofproduction.
| Work in Process—Assembly Department |
|---|
| Bal., 9,000 units, 40% completed | 72,360 | To Finished Goods, 41,500 units | ? |
| Direct materials, 40,000 units @ $6.80 | 272,000 | | |
| Direct labor | 80,000 | | |
| Factory overhead | 40,450 | | |
| Bal., ? units, 30% completed | ? | | |
Cost per equivalent units of $6.80 for Direct Materials and$3.00 for Conversion Costs.
a. Based on the above data, determine thedifferent costs listed below.
| 1. Cost of beginning work in process inventory completed thisperiod | $ |
| 2. Cost of units transferred to finished goods during theperiod | $ |
| 3. Cost of ending work in process inventory | $ |
| 4. Cost per unit of the completed beginning work in processinventory (Rounded to the nearest cent.) | $ |
b. Did the production costs change from thepreceding period?
c. Assuming that the direct materials cost perunit did not change from the preceding period, did the conversioncosts per equivalent unit increase, decrease, or remain the samefor the current period?
