Equivalent units of production for conversion costs


The following information is accessible for the Department of Steins for the month of a July:

Units Costs

Work in process, July 1

(70% complete for conversion costs)                   5,000
Direct materials                                               $6,000
Direct labour                                                    3,000
Manufacturing overhead                                     4,000
Total work in process, July 1                            $13,000
Started in production during July                        20,000

Costs added:

Direct materials                                             $18,000
Direct labor                                                     8,000
Manufacturing overhead                                   10,000
Total costs added during July                          $36,000

Work in process, July 31

(80% complete for conversion costs)                  2,000

Materials are added at the beginning of process.

Required:

1. What would be equivalent units of production for materials using the Weighted Average Method?

2. What would be equivalent units of production for conversion costs by using the Weighted Average Method?

3. What would be cost per equivalent unit of production for materials by using the Weighted Average Method?

4. What would be cost per equivalent unit of production for conversion costs by using the Weighted Average Method?

5. What would be cost of goods transferred out by using the Weighted Average Method?

6. What would be cost of ending work in process by using the Weighted Average Method?

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Financial Accounting: Equivalent units of production for conversion costs
Reference No:- TGS03788

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