Consider the following data for the assembly division of Company, Inc,
The assembly division uses the weighted-average method of process costing
|
Physical Units |
Direct Materials |
Conversion Costs |
| Beginning work in process (May 1st) (a) |
100 |
$547,100 |
$141,600 |
| Started in May 2013 |
510 |
|
|
| Completed during May 2013 |
450 |
|
|
| Ending work in Process (May 31)(b) |
160 |
|
|
| Total Costs added during May 2013 |
|
$3,85,600 |
$1,748,460 |
(a) degree of comlpetion : direct materials,80%; conversion costs, 35%
(b) degree of completion : direct materials,80%; conversion costs,80%
1. Compute equivalent units for direct materials and conversion costs. Show physical units in the first column of your schedule
Using FIFO METHOD of process costing instead of weighted-average method.
2.Compute equivalent units for direct materials and conversion costs. Show physical units in the first column of your schedule
3.Use FIFO METHOD to summarize total costs to acocunt for, calculate cost per equivalent unit for direct materials and conversion costs, and assign total costs to units completed (and transferred out) and to units in ending work in process