1 A. Calculate the equivalent units of production.

1-b. Calculate the cost per equivalent unit. (Round your answers to 2 decimal places.)

1-c. How much cost should be assigned to the finished job in the process inventory? (Round your intermediate calculations to 2 decimal places.)

1-d. How much cost should be assigned to units that are completed and transferred to finished products? (Round your intermediate calculations to 2 decimal places.)

Finishing Department costs:
Business process inventory, April 1,250; materials are 100% complete; conversion 60% complete	$	8.680	*
Costs transferred in the month previous department, 2,750 units		31.100
Material cost added during the month		12.866
Conversion costs accrued during the month		26.800
Total departmental costs	$	79.446
Finishing Department costs assigned to:
Units completed and transferred to finished goods, 3,400 units at $23,370 per unit	$	79.446
Work in the process inventory, April 30, 600 pieces; materials 0% complete; conversion 40% complete		0
Total departmental costs assigned	$	79.446

*Composed of transferred cost, $4,300; material cost, $2,060; and the conversion cost is $2,320.

"She's struggling to learn about our system," replied operations manager Frank Harrop. "The problem is that it's been out of process cost for a long time and it's slowly coming back."

"It's not just the format of his report that I'm worried about. Look at the $23,370 unit cost he found for April. Doesn't that sound high to you?" said Mrs. Scarpino.

“Yes, it seems high, but on the other hand, I know there was an increase in material prices in April and that may be the explanation,” Mr. Harrop replied. "I'm going to get someone else to redo this report and then we can see what's going on."

Provost Industries produces a ceramic product that passes through two processing departments: Molding and Finishing. The company uses the weighted average method in process costing.

Answer rating: 100% (QA)

1 a Calculate the equivalent units of production as follows Moulding Department Units started and co... View the full answer