Cost Accounting

Exercise Chapter 17 Process costing

Computing the equivalent units

Greenham Corporation uses the weighted-average method in its process costing. The following
data pertain to its Materials Preparation Department for March.
Units in process, March 1:
0
Units started into production during March
7,200
Units completed and transferred to the next department...... 6,300
Units in process, March 31: materials 55% complete,
conversion 10% complete
900
Required:
Determine the equivalent units of production for the Materials Preparation Department for
March.
Process Costing using Weighted Average Method
Ariana Company uses process costing in the production of polyethylene sheets. Work in process
beginning includes 30 rolls which were 80% complete with regard to material and 60% complete
with regard to conversion. The cost of beginning work in process was $3,000 60% of which
was for material. The company started 200 new units during the period. Added costs included
$20,600 for material and $8,500 for conversion. At the end of the period, the company has 170
units completed and 60 units still in process which are 90% complete with respect materials and
40% complete with respect to conversion.
Prepare a production report using weighted average price method.

ProcessCostingusingFIFOmethod
Thefollowinginformationisknownaboutacompany'sprocesscostingsystemforthelatest
period:

Cost Accounting
Exercise Chapter 17 Process costing

Required:Calculatethecostperequivalentunitformaterialsandconversioncostsforthe
period.ThecompanyusesFIFO.Showallcomputations.