Question

Use the following information for the Quick Study below.

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The Carlberg Company has two manufacturing departments, assembly and painting. The assembly department started 11,400 units during November. The following production activity unit and cost information refers to the assembly department’s November production activities.

Assembly Department	Units			Percent of Direct Materials Added			Percent of Conversion
Beginning work in process		2,000			75	%		25	%
Units transferred out		9,000			100	%		100	%
Ending work in process		4,400			85	%		35	%

Beginning work in process inventory—Assembly dept	$	2,186 (includes $1,688 for direct materials and $498 for conversion)
Costs added during the month:
Direct materials	$	17,422
Conversion	$	20,582

Required:
Prepare the November 30 journal entry to record the transfer of units (and costs) from the assembly department to the painting department. Use the weighted-average method.

Record the transfer of units from the assembly department to the painting department (weighted-average method.)

Transaction	General Journal	Debit	Credit
1

Answer 1

Equivalent unit of material = 9000+(4400*85%) = 12740

Equivalent unit of conversion = 9000+(4400*35%) = 10540

Cost per equivalent unit of material = (1688+17422)/12740 = 1.5

Cost per equivalent unit of conversion = (498+20582)/10540 = 2

Cost of units transferred out = 3.5*9000 = 31500

Journal entry :

Date	account and explanation	debit	credit
Nov 30	Work in process-Painting department	31500
	Work in process-Assembly department		31500
	(To record transferred out)