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Clopack Company manufactures one product that goes through one processing department called Mixing. All raw materials are introduced at the start of work in the Mixing Department. The company uses the weighted-average method of process costing. Its Work in Process T-account for the Mixing Department for June follows (all forthcoming questions pertain to June):

Work in Process—Mixing Department
June 1 balance	32,000	Completed and transferred to Finished Goods	?
Materials	141,245
Direct labor	90,500
Overhead	108,000
June 30 balance	?

The June 1 work in process inventory consisted of 4,900 units with $17,380 in materials cost and $14,620 in conversion cost. The June 1 work in process inventory was 100% complete with respect to materials and 60% complete with respect to conversion. During June, 37,400 units were started into production. The June 30 work in process inventory consisted of 7,800 units that were 100% complete with respect to materials and 50% complete with respect to conversion.

14. Prepare the journal entry to record the transfer of costs from Work in Process to Finished Goods. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

15-a. What is the total cost to be accounted for?

15-b. What is the total cost accounted for?

Answer 1

Unit transferred out = 4900+37400-7800 = 34500

Equivalent unit of material = 34500+7800 = 42300

Equivalent unit of conversion = 34500+(7800*50%) = 38400

Cost per equivalent unit of material = (17380+141245)/42300 = 3.75

Cost per equivalent unit of conversion = (90500+108000+14620)/38400 = 5.55

14) Journal entry

No	General Journal	Debit	Credit
	Finished goods (3.75+5.55)*34500	320850
	Work in process		320850

15a) Total Cost to be accounted for = 32000+339745 = 371745

15b) Total Cost accounted for = 320850+50895 = 371745