Equivalent Units and Product Cost Report$$Weighted Average Method

In its first month$$s operations, Allred Company$$s Department $1$ incurred charges of $$120,000$ for direct materials $(10,000$ units$),$ $$33,000$ for direct labor, and $$58,000$ for manufacturing overhead. At month$-$ end, $8,800$ units had been finished and transferred out. The remaining units were finished with respect to material but only $25\%$ complete with respect to conversion costs.

Assuming Allred uses the weighted average method and that materials are added at the beginning of the process and conversion costs occur evenly, compute the following:

The equivalent units of materials and conversion costs.

The cost per equivalent unit of materials and conversion costs.

The total cost assigned to the units transferred out.

The total cost assigned to the ending inventory.

Prove that your solutions to requirements $($c$)$ and $($d$)$ sum to the total costs to be accounted for.

Round average cost per equivalent unit to two decimal places, if applicable.

Round other answers to the nearest whole number, when appropriate.

Allred Company Department $1$

Flow of Units and Equivalent Units Calculation

Equivalent Units

$\%$ Work

done Direct

Materials $\%$ Work

Done Conversion

Costs

Complete$/$Transferred Answer

Answer

Answer

Answer

Answer

Ending Inventory Answer

Answer

Answer

Answer

Answer

Total Answer

a$.$ Answer

Answer

a$.$

Product Cost Report

Direct

Materials Conversion

Costs

Beginning Inventory Answer

Answer

Answer

Current Answer

Answer

Answer

Total Costs to Account For Answer

Answer

Answer

$-$: Total Equivalent Units Answer

Answer

Average cost $/$ Equivalent unit Answer

b$.$ Answer

b$.$

Complete $/$ Transferred:

Direct Materials Answer

Conversion costs Answer

Cost of Goods Manufactured Answer

c$.$

Ending Inventory:

Direct Materials Answer

Conversion costs Answer

Cost of Ending Inventory Answer

d$.$

Total Costs Allocated Answer

e$.$