Problem 3 Determine equivalent units unit costs and assignment of costs

Able Inc. uses the weighted-average method in its process costing system. The following data

concern the operations of the company's first processing department for a recent month.

Work in process, beginning:

Units in process 300

Percent complete with respect to materials 60%

Percent complete with respect to conversion 30%

Costs in the beginning inventory:

Materials cost $342

Conversion cost $2,394

Units started into production during the month 21,000

Units completed and transferred out 20,700

Costs added to production during the month:

Materials cost $44,136

Conversion cost $546,750

Work in process, ending:

Units in process 600

Percent complete with respect to materials 80%

Percent complete with respect to conversion 30%

Using the weighted-average method:

a. Determine the equivalent units of production for materials and conversion costs.

b. Determine the cost per equivalent unit for materials and conversion costs.

c. Determine the cost of units transferred out of the department during the month.

d. Determine the cost of ending work in process inventory in the department.

e. Complete Cost Reconciliation

a. Materials Conversion

b. Materials Conversion

Page 5 of 18c. Materials Conversion Total

d. Materials Conversion Total

e.