Question 1A & B
WEIGHTED AVERAGE
Physical Materials Conversion Total
Units to account for
Beginning WIP 18,000
Units Started 100,000
Total units to account for 118,000
Units accounted for
Completed Units 94,000 94,000 94,000
Ending WIP 24,000 24,000 14,400
Total units accounted for 118,000 118,000 108,400
Unit costs
Beg WIP cost 65,000 35,000 100,000
Costs incurred 550,000 575,000 1,125,000
Total costs 615,000 610,000 1,225,000
Equivalent Units 118,000 108,400
Cost per equivalent unit 5.21 5.63 10.84
Question 1A & B
FIFO
Physical Materials Conversion Total
Units to account for
Beginning WIP 18,000
Units Started 100,000
Total units to account for 118,000
Units accounted for
Completing Beg WIP 18,000 - 7,200
Started & Completed 76,000 76,000 76,000
Ending WIP 24,000 24,000 14,400
Total units accounted for 118,000 100,000 97,600
Unit costs
Costs incurred 550,000 575,000 1,125,000
Equivalent Units 100,000 97,600
Cost per equivalent unit 5.5 5.89 11.39
Question 2
Paint Company
Weighted Average Production Cost Report
For the month ended June 30, 2018
Physical Materials Labour Overhead Total
Units to account for
Beginning WIP 2,000
Units Started 80,000
Total units to account for 82,000
Units accounted for
Completed Units 72,000 72,000 72,000 72,000
Ending WIP 10,000 10,000 - 8,000
Total units accounted for 82,000 82,000 72,000 80,000
Unit costs
Beg WIP cost 4,000 10,000 14,000 28,000
Costs incurred 300,000 345,000 450,000 1,095,000
Total costs 304,000 355,000 464,000 1,123,000
Equivalent Units 82,000 72,000 80,000
Cost per equivalent unit 3.71 4.93 5.80 14.44
Costs to account for
Beg WIP 4,000 10,000 14,000 28,000
Cost incurred 300,000 345,000 450,000 1,095,000
Total cost to account for 304,000 355,000 464,000 1,123,000
Costs accounted for
Cost of completed units 266,927 355,000 417,600 1,039,527
Cost of ending WIP 37,073 - 46,400 83,473
Total costs accounted for 304,000 355,000 464,000 1,123,000
Question 2
Paint Company
FIFO Production Cost Report
For the month ended June 30, 2018
Physical Materials Labour Overhead Total
Units to account for
Beginning WIP 2,000
Units Started 80,000
Total units to account for 82,000
Units accounted for
Completing Beg WIP 2,000 - 2,000 1,200
Started & Completed 70,000 70,000 70,000 70,000
Ending WIP 10,000 10,000 - 8,000
Total units accounted for 82,000 80,000 72,000 79,200
Unit costs
Costs incurred 300,000 345,000 450,000 1,095,000
Equivalent Units 80,000 72,000 79,200
Cost per equivalent unit 3.75 4.79 5.68 14.22
Costs to account for
Beg WIP costs 4,000 10,000 14,000 28,000
Cost incurred 300,000 345,000 450,000 1,095,000
Total cost to account for 304,000 355,000 464,000 1,123,000
Costs accounted for
Beg WIP costs 4,000 10,000 14,000 28,000
Cost of completing beg WIP - 9,583 6,818 16,402
Cost of started & completed 262,500 335,417 397,727 995,644
Cost of ending WIP 37,500 - 45,455 82,955
Total costs accounted for 304,000 355,000 464,000 1,123,000