Refer to the information in Problem 6-37. Required Complete Problem 6-37 using the FIFO method. In Problem

Question:

Refer to the information in Problem 6-37.


Required

Complete Problem 6-37 using the FIFO method.

In Problem

Weatherly Lumber Company processes wood pulp for manufacturing various paper products. The company employs a process costing system for its manufacturing operations. All direct materials are added at the beginning of the process, and conversion costs are incurred uniformly throughout the process. This is the company€™s production schedule for May:

Percentage Completed Tons of Pulp Materlals Converslon Work-In-Process Inventory, May 1 Started during May 100% 5,000 15

The following cost data are available:

Work-in-Process Inventory, May 1
Direct materials.......................................$ 94,000
Conversion................................................133,120
Costs incurred during May
Direct materials........................................229,800
Conversion................................................376,000


Required

1. Calculate the equivalent units of direct materials and conversion during May. Use the weighted-average method.

2. Calculate the cost per equivalent unit for both direct materials and conversion during May. Use the weighted-average method.

Fantastic news! We've located the answer you've been seeking!

Step by Step Answer:

Related Book For  answer-question

Cost Management A Strategic Emphasis

ISBN: 9781259917028

8th Edition

Authors: Edward Blocher, David F. Stout, Paul Juras, Steven Smith

Question Posted: