Comprehensive ProblemWeighted-Average Method bella Products, located in Chicago, uses the weighted-average method in its process costing system. It manufactures a product called Worzel that goes through three processing stages prior to completion. Information on work in the first department, Cleaning, is given below for May:

Production data:
Pounds in process, May 1; materials 100% complete; conversion 90% complete	100,000
Pounds started into production during May	350,000
Pounds completed and transferred out	?
Pounds in process, May 31; materials 80% complete; conversion 20% complete	30,000
Cost data:
Work in process inventory, May 1:
Materials cost	$ 88,400
Conversion cost	$ 22,240
Cost added during May:
Materials cost	$ 400,000
Conversion cost	$ 80,000

Required (SHOW YOUR WORK):

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

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

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

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

5. Prepare a cost reconciliation report for May.

6. Prepare the journal entry to record the material and conversion costs added to production this period (assume conversion costs are 40% direct labor costs and 60% overhead costs)

7. Prepare the journal entry to record the cost of the units completed and transferred out to the Mixing Department.

8. Prepare a T-account for the WIP account for the Cleaning Department.