# Question: Janbo Company produces a variety of stationery products One product

Janbo Company produces a variety of stationery products. One product, sealing wax sticks, passes through two processes: blending and molding. The weighted average method is used to account for the costs of production. After blending, the resulting product is sent to the molding department, where it is poured into molds and cooled. The following information relates to the blending process for August:
a. WIP, August 1, had 30,000 pounds, 20 percent complete. Costs associated with partially completed units were:
Materials ............ \$ 220,000
Direct labor ........... 30,000
b. WIP, August 31, had 50,000 pounds, 40 percent complete.
c. Units completed and transferred out totaled 480,000 pounds.
Materials ............. \$ 5,800,000
Direct labor ........... 4,250,000
Required:
1. Prepare
(a) A physical flow schedule
(b) An equivalent unit schedule.
2. Calculate the unit cost.
3. Compute the cost of EWIP and the cost of goods transferred out.
4. Prepare a cost reconciliation.
5. Suppose that the materials added uniformly in blending are paraffin and pigment and that the manager of the company wants to know how much each of these materials costs per equivalent unit produced. The costs of the materials in BWIP are as follows:

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