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Hi-Test Company uses the weighted-average method of process costing to assign production costs to its products. Information for the company's first production process September follows. Assume that all materials are added at the beginning of this production process, and that conversion costs are added uniformly throughout the process.
Work in process inventory, September 1 (2,000 units, 100% complete with respect to
direct materials, 80% complete with respect to direct labor and overhead; includes
$45,000 of direct material cost, $25,600 in direct labor cost, $30,720 overhead cost) $101,320
Units started in April 28,000
Units completed and transferred to finished goods inventory 23,000
Work in process inventory, September 30 (units, 100% complete with respect to
direct materials, 40% complete with respect to direct labor and overhead) ?
Costs incurred in September
Direct materials $375,000
Conversion $341,000
Compute each of the following, assuming Hi-Test uses the weighted-average method of process costing.
The number of physical units that were transferred out and the number that are in ending work in process inventory.
Units Reconciliation:
Units to account for:
Total units accounted for :
Total units accounted for :
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