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 | $ | 285,000 | |
| Conversion: 40% complete, cost of | | 174,800 | |
| Balance in work in process, June 1 | $ | 459,800 | |
| Units started during June | | 240,000 | |
| Units completed during June and transferred out tofinished-goods inventory | | 200,000 | |
| Work in process, June 30: | | | |
| Direct material: 100% complete | | | |
| Conversion: 60% complete | | | |
| Costs incurred during June: | | | |
| Direct material | $ | 495,000 | |
| Conversion costs: | | | |
| Direct labor | $ | 86,300 | |
| Applied manufacturing overhead | | 258,900 | |
| Total conversion costs | $ | 345,200 | |
|
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.
