Question: MALDIVES Company uses the weighted-average method in its process costing system. The company adds materials at the beginning of the process in Department M. Conversion



MALDIVES Company uses the weighted-average method in its process costing system. The

company adds materials at the beginning of the process in Department M. Conversion costs

were 75% complete with respect to the 4,000 units in work in process at May 1 and 50%

complete with respect to the 6,000 units in work in process at May 31. During May, 12,000 units

were completed and transferred to the next department. An analysis of the costs relating to work

in process at May 1 and to production activity for May follows:


Materials Conversion

Work in process 5/1 13,800 3,740

Costs added during May 42,000 26,260


Required:

1. Compute for the EUP of Materials and Conversion Costs

2. Compute for the cost per unit of Materials and Conversion Costs

3. Compute for the TOTAL COST TRANSFERRED

4. Compute for the COST OF WORK IN PROCESS ENDING

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