Question - Jwell Manufacturing Company (JMC) makes promotional flags and used a process costing system (weighted average method). The following information relates to JMC:
Weighted Average Method
|
|
Physical Units
|
Direct Material
|
Conv Costs
|
|
WIP , Beginning
|
5,000
|
25,000
|
17,500
|
|
Started during period
|
12,000
|
|
|
|
Good units comp/transferred
|
12,500
|
|
|
|
Normal spoilage
|
200
|
|
|
|
Abnormal spoilage
|
100
|
|
|
|
WIP, Ending
|
4,200
|
|
|
|
Total costs added in period
|
|
21,800
|
27,500
|
|
Completion:
WIP (Begin): DM 80%, CC 50%
WIP (Ending): DM 80%, CC 30%
|
Required: Prepare a Cost of Production Report that includes the calculation of equivalent units, the cost per equivalent units, a summary of costs to account for and the cost of units transferred and the cost of the units in ending work in process.