Question: A Weighted Average Question to use the information below: Each product must pass through the Assembly Department and the Testing Department. The Tock Clock Company
A Weighted Average Question to use the information below: Each product must pass through the Assembly Department and the Testing Department. The Tock Clock Company manufactures a single type of clock on a highly automated assembly line. Its costing system uses two cost categories, direct materials and conversion costs. Direct materials are added at the beginning of the production process. Conversion costs are allocated evenly throughout production. Tock Clock Company uses weighted-average costing.
Data for assembly department for June 2020 are:
Work in process: Beginning inventory 250 units
Direct Material (100% complete)
Conversion cost (50% complete)
Units starting during June 800 units
Work in process ending inventory 150 units
Direct material (100% complete)
Conversion cost (75% complete)
Cost for June 2020
Work in process: beginning inventory:
Direct materials $90,000
Conversion cost $135,000
Direct Material cost added during June $500,000
Conversion cost added during June $500,000
If Tock uses the weighted-average method, what was the number of units completed and transferred out during this period (June 2020)?
| 1,050 units | ||
| 1,012.5 units | ||
| 962 units | ||
| 900 units |
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