Question

In July, one of the processing departments at Okamura Corporation had beginning work in process inventory of $31,000 and ending work in process inventory of $36,000. During the month, the cost of units transferred out from the department was $166,000. In the department's cost reconciliation report for July, the total cost to be accounted for under the weighted-average method would be:

.

Intask Corporation uses the FIFO method in its process costing system. Beginning inventory in the mixing department consisted of 6,400 units that were 75% complete with respect to conversion costs. Ending work in process inventory consisted of 5,400 units that were 60% complete with respect to conversion costs. If 12,800 units were transferred to the next processing department during the period, the equivalent units of production for conversion cost would be:

.

Rauzman Corporation uses the FIFO method in its process costing. The following data concern the company’s Mixing Department for the month of August.

	Materials			Conversion
Work in process, August 1	$	15,746		$	22,746
Cost added to production in the Mixing Department during August	$	194,722		$	175,608
Equivalent units of production for August		5,830			5,420

Required:

Compute the cost per equivalent unit for materials and conversion for the Mixing Department for August using the FIFO method. (Round your final answers to 2 decimal places.)

Answer 1

In July, one of the processing departments at Okamura Corporation had beginning work in process inventory of $31,000 and ending work in process inventory of $36,000. During the month, the cost of units transferred out from the department was $166,000. In the department's cost reconciliation report for July, the total cost to be accounted for under the weighted-average method would be:

Weighted-average method
Costs to be accounted for as follows:
Cost of ending work in process inventory $36000
Cost of units transferred out                         166000
Total cost accounted for                                $202000