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Process Costing using Weighted Average Method

Process Cost: Weighted Average Method

Agua-Paint, Inc. produces an environmentally correct paint that goes through department A and department B. Department A's data on units and costs for the last month are presented below (look also in the attachment).
Percent completed
Units Materials Conversion
Beginning work in process 20,000 100% 80%
Units started 180,000
Units transferred out 190,000 100% 10%%
Ending work in process 10,000 0% 40%

Cost
Materials Conversion
Beginning work in process $20,000 $8,000
Current period cost 580,000 380,000

Required:
1. Compute equivalent unit materials and conversion.
2. Compute unit cost per equivalent unit materials and conversion.
3. Compute costs of units transferred out.
4. Determine ending balance of work in process for materials and conversion cost.

Attachments

Solution Summary

The solution calculates equivalent unit (materials and conversion), cost per equivalent unit (materials and conversion), costs of units transferred out and ending balance of work in process for materials and conversion cost.

$2.19