Acct 550 Ca1-3

(TCO F) Loxham Corporation uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month are listed below:

Work in process, beginning:

Units in beginning work in process inventory 400

Materials costs 6,900

Conversion costs 2,500

Percent complete for materials 80%

Percent complete for conversion 15%

Units started into production during the month 6,000

Units transferred to the next department during the month 5,400

Materials costs added during the month 112,500

Conversion costs added during the month 210,300

Ending work in process:

Units in ending work-in-process inventory 1,000

Percentage complete for materials 80%

Percentage complete for conversion 30%

Required:

Calculate the equivalent units for materials for the month in the first processing department.

Materials: Units % Complete EU

Transferred to next department 5,400 100% 5,400

Work in Process, Ending 1,000 80% 800

Equivalent Units for Materials 6,200

Explanation: For materials, all units transferred to the next department are 100% complete; same goes for conversion costs. For work in process ending inventory, only 80% is completed for materials and 30% for conversion cost.

(TCO F) Loxham Corporation uses the weighted-average method in its process costing system. Data concerning the first processing department for the most recent month are listed below:

Work in process, beginning:

Units in beginning work in process inventory 400

Materials costs 6,900

Conversion...