Question

Weighted Average Method, Equivalent Units, Unit Cost, Multiple Departments Fordman Company has a product that passes...

Weighted Average Method, Equivalent Units, Unit Cost, Multiple Departments

Fordman Company has a product that passes through two processes: Grinding and Polishing. During December, the Grinding Department transferred 20,000 units to the Polishing Department. The cost of the units transferred into the second department was $40,000. Direct materials are added uniformly in the second process. Units are measured the same way in both departments.

The second department (Polishing) had the following physical flow schedule for December:

Units to account for:
  Units, beginning work in process 4,000 (40% complete)
  Units started   ?
  Total units to account for   ?
Units accounted for:
  Units, ending work in process 8,000 (50% complete)
  Units completed   ?
  Units accounted for   ?

Costs in beginning work in process for the Polishing Department were direct materials, $4,000; conversion costs, $7,000; and transferred in, $9,000. Costs added during the month: direct materials, $33,000; conversion costs, $47,000; and transferred in, $39,000.

Required:

1. Assuming the use of the weighted average method, prepare a schedule of equivalent units. Enter percentages as whole numbers.

Fordman Company
Schedule of Equivalent Units
For the month of December
Direct Materials Conversion Costs Transferred In
Ending WIP:

x

%

x

%

2. Compute the unit cost for the month. If required, round your answer to the nearest cent.
$ per equivalent unit

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

​​​​​

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Weighted Average Method, Equivalent Units, Unit Cost, Multiple Departments Fordman Company has a product that passes...
Weighted Average Method, Equivalent Units, Unit Cost, Multiple Departments Fordman Company has a product that passes through two processes: Grinding and Polishing. During December, the Grinding Department transferred 20,000 units to the Polishing Department. The cost of the units transferred into the second department was $40,000. Direct materials are added uniformly in the second process. Units are measured the same way in both departments. The second department (Polishing) had the following physical flow schedule for December: Units to account for:...
The Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method...
The Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of process costing. At the beginning of the month, the forming department has 37,000 units in inventory, 80% complete as to materials and 20% complete as to conversion costs. The beginning inventory cost of $84,100 consisted of $59,200 of direct materials costs and $24,900 of conversion costs. During the month, the forming department started 540,000 units. At the end of the month, the forming...
Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of...
Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of process costing. At the beginning of the month, the forming department has 30,000 units in inventory, 60% complete as to materials and 40% complete as to conversion costs. The beginning inventory cost of $70,100 consisted of $50,800 of direct materials costs and $19,300 of conversion costs. During the month, the forming department started 400,000 units. At the end of the month, the forming department...
Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of...
Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of process costing. At the beginning of the month, the forming department has 34,500 units in inventory, 80% complete as to materials and 20% complete as to conversion costs. The beginning inventory cost of $79,100 consisted of $56,200 of direct materials costs and $22,900 of conversion costs. During the month, the forming department started 490,000 units. At the end of the month, the forming department...
Exercise 4-3 Cost Per Equivalent Unit-Weighted-Average Method [LO4-3] Superior Micro Products uses the weighted-average method in...
Exercise 4-3 Cost Per Equivalent Unit-Weighted-Average Method [LO4-3] Superior Micro Products uses the weighted-average method in its process costing system. Data for the Assembly Department for May appear below: Materials Labor Overhead   Work in process, May 1 $ 40,600   $ 68,409   $ 331,872     Cost added during May $ 246,530   $ 45,606   $ 221,248     Equivalent units of production 3,400   3,300   3,200   Required: 1. Compute the cost per equivalent unit for materials, for labor, and for overhead. (Round your answers to 2...
Weighted Average Method, Unit Cost, Valuation of Goods Transferred Out and Ending Work in Process Holmes...
Weighted Average Method, Unit Cost, Valuation of Goods Transferred Out and Ending Work in Process Holmes Products, Inc., produces plastic cases used for video cameras. The product passes through three departments. For April, the following equivalent units schedule was prepared for the first department: Direct Materials Conversion Costs Units completed 25,000 25,000 Units, ending work in process ×   Percentage complete: 7,000 × 100% 7,000 — 7,000 × 50% — 3,500 Equivalent units of output 32,000 28,500 Costs assigned to beginning...
Equivalent Units Calculations—Weighted Average Method Terrace Corporation makes an industrial cleaner in two sequential departments, Compounding...
Equivalent Units Calculations—Weighted Average Method Terrace Corporation makes an industrial cleaner in two sequential departments, Compounding and Drying. All material is added at the beginning of the process in the Compounding Department. Conversion costs are added evenly throughout each process. Terrace uses the weighted average method of process costing. In the Compounding Department, beginning work in process was 2,000 pounds (60% processed), 34,000 pounds were started, 32,000 pounds were transferred out, and ending work in process was 70% processed. Calculate...
17-19   Weighted-average method, equivalent units. The assembly division of Fenton Watches, Inc., uses the weighted-average method...
17-19   Weighted-average method, equivalent units. The assembly division of Fenton Watches, Inc., uses the weighted-average method of process costing. Consider the following data for the month of May 2014: Physical Units (Watches) Direct Materials Conversion Costs Beginning work in process (May 1)a Started in May 2014 Completed during May 2014 Ending work in process (May 31)b Total costs added during May 2014 80 500 460 120 $   493,360 $3,220,000 $   91,040 $1,392,000 aDegree of completion: direct materials, 90%; conversion costs,...
Calculate Equivalent Units, Unit Costs, and Transferred Costs—Weighted Average Method Kipling Manufacturing, Inc., operates a plant...
Calculate Equivalent Units, Unit Costs, and Transferred Costs—Weighted Average Method Kipling Manufacturing, Inc., operates a plant that produces its own regionally-marketed Super Salad Dressing. The dressing is produced in two processes, blending and bottling. In the Blending Department, all materials are added at the beginning of the process, and labor and overhead are incurred evenly throughout the process. Kipling uses the weighted average method. The Work in Process—Blending Department account for January 2016 follows: Work in Process-Blending Department January 1...
Exercise 4-2 Computation of Equivalent Units-Weighted-Average Method [LO4-2] Clonex Labs, Inc., uses a process costing system....
Exercise 4-2 Computation of Equivalent Units-Weighted-Average Method [LO4-2] Clonex Labs, Inc., uses a process costing system. The following data are available for one department for October: Percent Completed Units Materials Conversion   Work in process, October 1 47,000 90% 60%   Work in process, October 31 26,000 66% 53% The department started 393,000 units into production during the month and transferred 414,000 completed units to the next department. Required: Compute the equivalent units of production for October, assuming that the company uses...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT