Question

7.) The following production data were taken from the records of the Finishing Department for the month of June:
Inventory in process, June 1 (15% complete as to conversion)				4,000 units
Completed units during June				71,000 units
Ending inventory (60% complete as to conversion)				7,000 units
Complete the chart below and determine the number of equivalent units of production for materials and conversion for June 30.
Determine the cost per unit if the Materials cost incurred was $90,500 & Conversion cost was $225,100
All materials were added at the beginning of the process.					(10 points)
Units to be assigned costs:				Equivalent Units
			Whole Units	Direct Materials	Conversion
Inventory in process, June 1				0
Started and completed in June
Transferred to Packaging Department in June
Inventory in process, June 30
Total units to be assigned costs
				Costs
Total cost for June
total equivalent units
cost per equivalent unit				$	$

Answer 1

Computation of Number of Equivalent units of production for materials & coversion for june,30
Units to be assigned costs		Equivalent units
	Whole units	Direct Materials	Conversion
Inventory in process ,June1	4000 units	0	3400 units
Started&CompletedinJune	67000 units	67000units	67,000 units
Transferred to Packaging Department in June	71000 units	67000 units	70400 units
Inventory in process, June 30	7000 units	7000 units	4200 units
Total units to be assigned costs		74,000 units	74600 units
		Costs
Total cost for June		$ 90,500	$ 2,25,100
Total Equivalent units		74000 units	74600 units
Cost per Equivalent unit		$ 1.22/unit	$ 3.02/unit