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Time remalning: 1:46:29 20.00 points Clonex Labs, Inc., uses a process costing s

ID: 2338839 • Letter: T

Question

Time remalning: 1:46:29 20.00 points Clonex Labs, Inc., uses a process costing system. The following data are available for one department for October: Percent Completed Work Work in process, October 31 Units Materials Conversion 45,000 90% 26,000 69% in process, October 1 55% 52% The department started 394,000 units into production during the month and transferred 413,000 completed units to the next department. Required: Compute the equivalent units of production for October, assuming that the company uses the weighted- average method of accounting for units and costs. Materials Conversion Equivalent units of production

Explanation / Answer

Answer

Units Reconciliation

Units to account for:

Beginning WIP

                   45,000

Units started this period

                 394,000

Total Units to account for

                 439,000

Total Units accounted for:

Completed & Transferred out

                 413,000

Ending WIP

                   26,000

Total Units accounted for

                 439,000

EUP - Weighted Average Method

Units

% Material

EUP Materials

% Conversion

EUP - Conversion

Units TRANSFERRED

413,000

100%

413,000

100%

413,000

Units of ENDING WIP

26,000

69%

17,940

52%

13,520

Equivalent Units of Production

430,940 = Answer

426,520 = Answer

Equivalent units of production:

>For Material = 430,940 units

>For Conversion cost = 426,520 units

Units Reconciliation

Units to account for:

Beginning WIP

                   45,000

Units started this period

                 394,000

Total Units to account for

                 439,000

Total Units accounted for:

Completed & Transferred out

                 413,000

Ending WIP

                   26,000

Total Units accounted for

                 439,000

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