Instructions Determine the unit costs of production. Show the assignment of cost
ID: 2332925 • Letter: I
Question
Instructions
Determine the unit costs of production.
Show the assignment of costs to units transferred out and in process.
(b)Determine the unit costs of production.
(c)Show the assignment of costs to units transferred out and in process.
Exercise 17-10 (Part Level Submission) Overton Company has gathered the following information Units in beginning work in process Units started into production Units in ending work in process Percent complete in ending work in process: 21,020 243,480 24,910 Conversion costs Materials 60 % 100 % Costs incurred: Direct materials Direct labor Overhead $105,800 S347,216 $187,310 Compute equivalent units of production for materials and for conversion costs. aterial onversion Costs The equivalent units of productionExplanation / Answer
Answer
--Working
Units Reconciliation
Units to account for:
Beginning WIP
21,020
Units started this period
243,480
Total Units to account for
$ 264,500.00
Total Units accounted for:
Completed & Transferred out
239,590
Ending WIP
24,910
Total Units accounted for
$ 264,500.00
---Equivalent units of production:
EUP - Weighted Average Method
Units
% Material
EUP Materials
% Conversion
EUP - Conversion
Units TRANSFERRED
239,590
100%
239,590
100%
239,590
Units of ENDING WIP
24,910
100%
24,910
60%
14,946
Equivalent Units of Production
264,500
254,536
COST per EUP
Material
Conversion
Cost of Beginning WIP
Cost incurred during the period
$ 105,800.00
$ 534,526.00
Total Costs
Costs
$ 105,800.00
Costs
$ 534,526.00
Equivalent units of production
EUP
264,500
EUP
254,536
Cost per EUP
$ 0.40
$ 2.10
Cost per Equivalent units: $ 0.40 per EUP [Material]
Cost per Equivalent units: $2.10 per EUP [Conversion Cost]
Cost accounted for in Units transferred out and in process:
TOTAL COST ACCOUNTED FOR
Cost of Units Transferred Out
EUP
Cost per EUP
Total Cost
- Direct Materials
239,590
$ 0.40
$ 95,836.00
- Conversion
239,590
$ 2.10
$ 503,139.00
Total Cost transferred Out
$ 598,975.00
Costs of Ending WIP:
EUP
Cost per EUP
Total Cost
- Direct Materials
24,910
$ 0.40
$ 9,964.00
- Conversion
14,946
$ 2.10
$ 31,387.00
Total cost of ending WIP
$ 41,351.00
Units Reconciliation
Units to account for:
Beginning WIP
21,020
Units started this period
243,480
Total Units to account for
$ 264,500.00
Total Units accounted for:
Completed & Transferred out
239,590
Ending WIP
24,910
Total Units accounted for
$ 264,500.00