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PPUDI Huluyu Method, Nonuniform Inputs. Multiple Departments Benson Pharma and bottling (with materials out in gallon cor capsules (whic Pharmaceuticals uses a process-costing system to compute the unit costs of the Bensure cold remedies that it produces. It has three departments: mixing, encapsula ling. In mixing, the ingredients for the cold capsules are measured, sifted, and blend terials assumed to be uniformly added throughout the process). The mix is transfer gallon containers. The encapsulating department takes the powdered mix and places it les (which are necessarily added at the beginning of the process). One gallon of powden converts into 1,500 capsules. After the capsules are filled and polished, they are transfer horeling, where they are placed in bottles that are then affixed with a safety seal, lid, and lal Each bottle receives 50 capsules. During March, the following results are available for the first two departments: Mixing Encapsulating Beginning inventories: Physical units 10 gallons 4,000 Costs: Materials $252 $32 Labor $282 $20 Overhead Transferred in $140 Current production: Transferred out 140 gallons 208,000 Ending inventory 20 gallons 6,000 Costs: Materials $3,636 $1,573 Transferred in Labor $4,618 $1,944 Overhead Percentage of completion: 40% 50% Beginning inventory 40% 50% Ending inventory ests. In the ment, the over Overhead in both departments is applied as a percentage of direct labor costs. I department, overhead is 200% of direct labor. In the encapsulating department. rate is 150% of direct labor. to two decimal place Required: 1. Prepare a production report for the mixing department using the weighted avera method. Follow the five steps outlined in the chapter. (Note: Round to two decim for the unit cost.) 2. Prepare a production report for the encapsulating department using the weighted ave method. Follow the five steps outlined in the chapter. (Note: Round to four decimal for the unit cost.) 3. CONCEPTUAL CONNECTION Explain why the weighted average method is easier to than FIFO. Explain when weighted average will give about the same results as FIFO

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