Problem:
1. Milton Inc. manufactures products that pass through two or more processes. During April, equivalent units were computed using the weighted average method:
Units completed 18,000
Units in EWIP A? Fraction complete (12,000 A? 60 percent) 7,200
Equivalent units of output25,200
April's costs to account for are as follows:
BWIP (40 percent complete) $ 3,360
Materials 30,000
Conversion cost 12,000
Total $45,360
Required:
1. Calculate the unit cost for April using the weighted average method.
2. Using the weighted average method, determine the cost of EWIP and the cost of the goods transferred out