The

Smith

Processing Company had work in process at the beginning and end of March 2017 in its Painting Department as follows:

	Percentage of Completion
	Direct Materials	Conversion Costs
March 1 (4,600 units)	40%	10%
March 31 (50,000 units)	65%	15%

The company completed

30,000

units during March. Manufacturing costs incurred during March were direct materials costs of

$300,000

and conversion costs of

$450,000.

Inventory at March 1 was carried at a cost of

$35,000

(direct

materials—$5,000

and conversion

costs—$30,000).

Assuming

Smith

uses weighted-average costing, determine the equivalent units of work done in March, and calculate the cost of units completed and the cost of units in ending inventory.

Begin by entering the physical units first, then calculating the equivalent units.

	Physical
Flow of Production	Units
Work in process beginning	4600
Started during current period	75400
To account for	80000
Completed and transferred out during current period	30000
Work in process, ending	50000
Accounted for	80000
Equivalent units of work done to date

Equivalent Units
Direct	Conversion
Materials	Costs
30000	30000
32500	17500
62500	47500

Next, summarize the total costs to account for.

		Total	Direct	Conversion
		Production Costs	Materials	Costs
Work in process, beginning		35000	30000	5000
Costs added in current period		750000	300000	450000
Total costs to account for		785000	330000	455000

Now calculate cost per equivalent unit for direct materials and conversion costs. (Round your answer to the nearest cent.)

		Direct	Conversion
		Materials	Costs
Costs incurred to date		330000	455000
Divide by	equivalent units of work done to date	63500	47500
Cost per equivalent unit		5.20	9.58

Finally, assign total costs to units completed (and transferred out) and to units in ending work in process.

		Total	Direct	Conversion
		Production Costs	Materials	Costs
Completed and transferred out
Work in process, ending
Total costs accounted for		785000	330000	455000