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Williams Company has the following data for the Assembly Department for August.

ID: 2547609 • Letter: W

Question

Williams Company has the following data for the Assembly Department for August.

Units in process for the beginning of august               300

Units started in august                                                  1900

Units Completed and transfered                                   1900

Units in Process at end of august                                  300

Conversion costs are added evenly throughout the process. The company uses the weighted-average method

Compute the equivalent units of production for direct materials and conversion costs for each independent scenario:

4.Units in process at the end of August are 90%
complete; materials are added at the halfway point.

1.Units in process at the end of Augustare 10%
complete; materials are added at the beginning of the process. 2. Units in process at the end of August are 90%
complete; materials are added at the beginning of the process. 3.Units in process at the end of August are 10%
complete; materials are added at the end of the process.

4.Units in process at the end of August are 90%
complete; materials are added at the halfway point.

Explanation / Answer

Scenario 1 Physical Direct Material Conversion Cost Units Completed during August 1900 1900 1900 Work in Process, Closing August 300 300 30 Equivalent Units of Production 2200 2200 1930 Scenario 2 Units Completed during August 1900 1900 1900 Work in Process, Closing August 300 300 270 Equivalent Units of Production 2200 2200 2170 Scenario 3 Units Completed during August 1900 1900 1900 Work in Process, Closing August 300 0 30 Equivalent Units of Production 2200 1900 1930 Scenario 4 Units Completed during August 1900 1900 1900 Work in Process, Closing August 300 300 270 Equivalent Units of Production 2200 2200 2170

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