Piscataway Plastics Company manufactures a highly specializedplastic that is used extensively in the automobile industry. Thefollowing data have been compiled for the month of June. Conversionactivity occurs uniformly throughout the production process.
| | | |
Work in process, June 1—60,000 units: | | | |
Direct material: 100% complete, cost of | $ | 292,500 | |
Conversion: 40% complete, cost of | | 159,200 | |
Balance in work in process, June 1 | $ | 451,700 | |
Units started during June | | 240,000 | |
Units completed during June and transferred out tofinished-goods inventory | | 190,000 | |
Work in process, June 30: | | | |
Direct material: 100% complete | | | |
Conversion: 60% complete | | | |
Costs incurred during June: | | | |
Direct material | $ | 487,500 | |
Conversion costs: | | | |
Direct labor | $ | 81,800 | |
Applied manufacturing overhead | | 245,400 | |
Total conversion costs | $ | 327,200 | |
|
Required:
Prepare schedules to accomplish each of the followingprocess-costing steps for the month of June. Use theweighted-average method of process costing.
1. Analysis of physical flow of units.
2. Calculation of equivalent units.
3. Computation of unit costs.
4. Analysis of total costs.
OPTIONS:
- Direct-material costs
- Units completed and transferred out during June
- Units started during June
- Work in process, June 1
- Work in process, June 30
- Conversion costs
- Costs incurred during June
Analysis of physical flow of units.
| |
| |
| | Physical Units | | | | | | | Total units to account for | | | | | | | | Total units accounted for | |
|
Calculation of equivalent units.
| |
| |
| | | Equivalent Units | Physical Units | Direct Material | Conversion | | | | | | | | | | | | | Total units accounted for | | | | Total equivalent units | | | |
|
Computation of unit costs. (Round "Cost per equivalent unit" to2 decimal places.)
| |
| |
| | Direct Material | Conversion | Total | | | | | | | | | | | | | Total costs to account for | | | | Equivalent units | | | | Costs per equivalent unit | | | |
|
Analysis of total costs. (Round "Cost per equivalent unit" to 2decimal places.)
| |
| |
| | Number of Equivalent Units | Cost per Equivalent Unit | Total Cost | Cost of goods completed and transferred | | | | Direct material (Ending WIP Inventory) | | | | Conversion (Ending WIP Inventory) | | | | Total costs accounted for | | | |
|
