Assad Company uses the process costing method with the following data for the month of July. Work-in-process, July 1, 30,000 units: Direct material: 100% completed $ 65,500 Conversion: 30% completed 51,910 Balance in work in process, July 1 $ 117,410 Units started during July 40,000 Units finished 50,000 Work in process, July 31, 20,000 units Direct material: 100% completed Conversion: 60% completed Cost incurred during July: Direct materials $ 120,000 Conversion costs 199,810 Total $ 319,810 Required: (1) Compute cost per equivalent unit under the weighted - averag method. (2) Compute cost per equivalent unit under FIFO method.

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Assad Company uses the process costing method with the following data for the month of July. Work-in-process, July
1, 30,000 units: Direct material: 100% completed $ 65,500 Conversion: 30% completed 51,910 Balance in work in
process, July 1 $117,410 Units started during July 40,000 Units finished 50,000 Work in process, July 31, 20,000 units:
Direct material: 100% completed Conversion: 60% completed Cost incurred during July: Direct materials $ 120,000
Conversion costs 199,810 Total $ 319,810 Required: (1) Compute cost per equivalent unit under the weighted - average
method. (2) Compute cost per equivalent unit under FIFO method.
Transcribed Image Text:Assad Company uses the process costing method with the following data for the month of July. Work-in-process, July 1, 30,000 units: Direct material: 100% completed $ 65,500 Conversion: 30% completed 51,910 Balance in work in process, July 1 $117,410 Units started during July 40,000 Units finished 50,000 Work in process, July 31, 20,000 units: Direct material: 100% completed Conversion: 60% completed Cost incurred during July: Direct materials $ 120,000 Conversion costs 199,810 Total $ 319,810 Required: (1) Compute cost per equivalent unit under the weighted - average method. (2) Compute cost per equivalent unit under FIFO method.
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