Piscataway Plastics Company manufactures a highly specialized plastic that is used extensively in the automobile industry. The following data have been compiled for the month of June. Conversion activity occurs uniformly throughout the production process.
|
Work in process, June 1 (units)
|
50,000
|
|
Direct material: 100% complete cost of
|
120,000
|
|
Conversion: 40% complete, cost of
|
34,400
|
|
Balance in work in process, June 1
|
154,400
|
|
Units started during June
|
200,000
|
|
Units completed during June and transferred out to finished-goods inventory
|
190,000
|
|
Work in process, June 30:
|
|
|
Direct material: 100% complete
|
|
|
Conversion: 60% complete
|
|
|
Costs incurred during June:
|
|
|
Direct material
|
492,500
|
|
Conversion costs:
|
|
|
Direct labor
|
87,450
|
|
Applied manufacturing overhead
|
262,350
|
|
Total conversion costs
|
349,800
|
Required:
Prepare schedules to accomplish each of the following process-costing steps for the month of June. Use the weighted-average method of process costing.
1. Analysis of physical flow of units.
2. Calculation of equivalent units.
3. Computation of unit costs.
4. Analysis of total costs.