The Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of process costing. At the beginning of the month, the forming department has 36,000 units in inventory, 70% complete as to materials and 30% complete as to conversion costs. The beginning inventory cost of $82,100 consisted of $58,000 of direct material costs and $24,100 of conversion cost. During the month, the forming department started 520,000 units. At the end of the month, the forming department had 52,000 units in ending inventory, 85% complete as to materials and 35% complete as to conversion. Units completed in the forming department are transferred to the painting department.
Cost information for the forming department is as follows:
Beginning work in process inventory $ 82,100
Direct materials added during the month 1,942,930
Conversion added during the month 1,359,730
1a. Calculate the equivalent units of production for the forming department.
Direct Materials
Conversion
1b. Calculate the costs per equivalent unit of production for the forming department. (Round your answer to 2 decimal places.)
Direct Materials EUP
Conversion EUP
1c. Using the weighted-average method, assign costs to the forming department’s output—specifically, its units transferred to painting and its ending work in process inventory. (Round your "costs per equivalent unit" to two decimal places and use the rounded answer in further computations.)
Cost Assignment and Reconciliation
Cost of units transferred out EUP Cost per EUP Total cost
Direct materials
Conversion
Total costs transferred out
Costs of ending work in process EUP Cost per EUP Total cost
Direct materials
Conversion
Total cost of ending work in process
Total costs assigned