Builder Products, Incorporated, uses the weighted-average method in its process costing system. It manufactures a caulking compound that goes through three processing stages prior to completion. Information on work in the first department, Cooking, is given below for May:

Production data:
Pounds in process, May 1; materials 100% complete; conversion 90% complete	85,000
Pounds started into production during May	500,000
Pounds completed and transferred out	?
Pounds in process, May 31; materials 80% complete; conversion 20% complete	45,000
Cost data:
Work in process inventory, May 1:
Materials cost	$ 135,700
Conversion cost	$ 22,000
Cost added during May:
Materials cost	$ 705,260
Conversion cost	$ 120,740

Required:

1. Compute the equivalent units of production for materials and conversion for May.

Answer: Equivalent units of production: Materials - _____ Conversion - _____.

2. Compute the cost per equivalent unit for materials and conversion for May.

Answer: Cost per equivalent unit: Materials - _____ Conversion - ________.

3. Compute the cost of ending work in process inventory for materials, conversion, and in total for May.

Answer: Cost of ending work in process inventory: Materials - ________ Conversion- ____.

4. Compute the cost of units transferred out to the next department for materials, conversion, and in total for May.

Answer: Cost of units completed and transferred out: Materials - ________ Conversion - _______.

5. Prepare a cost reconciliation report for May.

Answer:

COSTS TO BE ACCOUNTED FOR:

*Cost of beginning work in process inventory ______

*Costs added to production during the period ______

TOTAL COST TO BE ACCOUNTED FOR: ______

COSTS ACCOUNT FOR AS FOLLOWS:

*Cost of ending work in process inventory _______

*Cost of units completed and transferred out _______

TOTAL COST ACCOUNTED FOR: ________