Given Information

Physical flow of Units

Units Direct Material Cost
WIP Beg 20000 40000
Units started this period 60000
Units transferred this period 64000
WIP Ending 16000
Total Cost added in current period 48000

Equivalent Units
Physical Units Direct Material
WIP, Beg 20000
Started during current period 60000
To account for 80000
Completed & transferred out during 64000 64000
current period
WIP, ending 16000
(16000*100, 16000*40) 16000
Degree of Completion of Ending WIP 100%
Accounted for 80000
Work done till now 80000
Total Costs added during February 48000

Total Production Direct Materials Cost

Cost

Step 3 WIP Beg 100000 40000

Costs added during March 72480 48000
Total Costs to account for 172480 88000

Step 4 Costs added in current period 172480 88000

Divide by Equivalent Units 80000
Cost per equivalent units 1.1

Step 5 Assignment of costs

Completed & Transferred Out 147200 70400
WIP 25280 17600
Total Cost accounted for 172480 88000
 Cutting Department
Beg WIP Conversion 50% Complete
Conversion Cost Total Cost End WIP Conversion 40% Complete
60000 100000

24480 72480

Equivalent Units
Conversion Costs Total Costs

64000

6400
40%

70400
24480 72480

Conversion Costs

60000
24480
84480

84480
70400
1.2

76800
7680
84480
 Equivalent Unit
Flow of production
Transferred-in-
Physical Units costs
WIP Beg 24000 (Work done before current peri
Transferred in during current period 64000
To account for 88000
Completed & Transferred out during current period

From WIP Beg 24000

(24000*0,24000*100%,24000*(100%-80%) 0
Started & Completed 44000
(44000*100%,44000*100%,44000*100%) 44000
WIP Ending 20000
(10000*100%,20000*0,20000*30%) 20000
Accounted for 88000
Cost done in current period only 64000

Total Transferred in cost

Production Cost

Step 3 WIP Beg 56800 28800

Costs added in current period 257920 147200
Total Cost to account for 314720 176000

Step 4 Costs added in current period 147200

Eq. Units 64000
Cost per Eq. Unit 2.3

Step 5 Assignment of Costs

Completed & Transferred Units
WIP Beg 56800.0 28800.0
Costs added to WIP Beg in current period 18720.0 0.0
Total from Beg Inventory 75520.0 28800.0
Started & Completed 184800.0 101200.0
Total Costs of units completed & transferred out 260320.0 130000.0
WIP Ending 54400.0 46000.0
Total Cost accounted for 314720 176000
 Equivalent Units

Direct Materials Conversion Costs Total Costs

(Work done before current period)

24000 4800

44000 44000

0 6000

68000 54800

Direct Materials Conversion Costs

0 28000
34000 76720
34000 104720

34000 76720
68000 54800
0.50 1.40

0.0 28000.0
12000.0 6720.0
12000.0 34720.0
22000.0 61600.0
34000.0 96320.0
0.0 8400.0
34000 104720
Transferred from Cutting department (C36 cell)