calstrx、1 A message bom )( v M MHE Reader conn https:/newconnect.mheducation.com/tlow/connect.htm add from anywhere囧Yahoo! 牯Apple BImported From Safari ut Child Development How to Apply for a ◆ Find . Doctor ,, Disney ESPN nework 6 Help Save & Exit Submi Saved Check my work Superior Micro Products uses the weighted-average method in its process costing system. During January, the Delta Assembly Departme process inventory and the costs added during January amounted to $748,860 in total. The ending work in process inventory in January consisted of 3,500 units, which were 60% complete with respect to materials and 40% complete with respect to labor and overhead. The costs per equivalent unit for the month were as follows: nt completed its processing of 26,600 units and transferred them to the next department. The cost of beginning work in Materials Labor overhead 13.80$ 4.60 $8.00 Cost per equivalent unit Required: 1 Compute the equivalent units of materials, labor, and overhead in the ending work in process inventory for the month. 2 Compute the cost of ending work in process inventory for materials, labor, overhead, and in total for January 3. Compute the cost of the units transferred to the next department for materials, labor, overhead, and in total for January. 4. Prepare a cost reconciliation for January. (Note: You will not be able to break the cost to be accounted for into the cost of beginning work in process inventory and costs added during the month,) Complete this question by entering your answers in the tabs below. | Required 1 : Required 2 Required 3 Required 4 Compute the equivalent units of materials, labor, and overhead in the ending work in ororess Incenton for
Expert Answer
1) COMPUTE EQUIVALENT UNIT OF MATERIAL, LABOUR AND OVERHEAD IN THE ENDING WORK IN PROCESS :
Material = 3500*60%= 2100
Labour = 3500*40% = 1400
Overhead = 3500*40% = 1400
2) CALCULATE COST OF ENDING WORK IN PROCESS :
AMOUNT | ||
Material | 2100*13.80 | 28980 |
Labour | 1400*4.60 | 6440 |
Overhead | 1400*8 | 11200 |
Total | 46620 | |
3) CALCULATE COST OF UNITS TRANSFERRED TO THE NEXT DEPARTMENT FOR MATERIAL LABOUR OVERHEAD :
amount | ||
Material | 26600*13.80 | 367080 |
Labour | 26600*4.60 | 122360 |
Overhead | 26600*8 | 212800 |
Total | 702240 |
4) PREPARE COST RECONCILIATION FOR JANUARY
Total cost to be accounted for | 748860 |
Unit completed & transferred | 702240 |
Ending work in process | 46620 |
Total cost to be accounted for | 748860 |