3 Fuller Corporation uses the weighted-average method in its process costing sys

Question

3 Fuller Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 700 units. The costs and percentage completion of these units in beginning Inventory were Percent Complete 85% 308 Cost Materials costs conversion costs $12, 700 $10,900 00:32-41 A total of 9,800 units were started and 8,800 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month: Cost Materials costs conversion costs $175, 600 $420,900 The ending inventory was 85% complete with respect to materials and 70% complete with respect to conversion costs. The cost of ending work in process inventory in the first processing department according to the company's cost system is closest to: (Round "Cost per equivalent unit to 3 decimal places.) Muitiple Choice $77,994 73,308 $104,725

Explanation / Answer

Equivalent unit of material = 8800+(1700*85%) = 10245 units

Equivalent unit of conversion = 8800+(1700*70%) = 9990 units

COst per equivalent unit of material = (12700+175600)/10245 = 18.380

Cost per equivalent unit of conversion = (10900+420900)/9990 = 43.223

Cost of ending work in process = (1700*85%*18.38+1700*70%*43.223) = 77994

so answer is a) $77994

Related Questions

Navigate

• Browse (All)
• Browse 3
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.