Pestiferous Manufacturing produces a chemical pesticide and uses process costing. There are three processing departments-Mixing, Refining, and Packaging. On January 1, the first department-Mixing-had no beginning inventory. During January, 45,000 fl. oz. of chemicals were started in production. Of these, 36,000 fl. oz. were completed, and 9,000 fl. oz. remained in process. In the Mixing Department, all direct materials are added at the beginning of the production process, and conversion costs are applied evenly throughout the process. At the end of January, the equivalent unit data for the Mixing Department were as follows: UNITS Units to be accounted for Completed and transferred out Ending work-in-process" 36,000 9.000 OA $32,040 OB. $11,250 OC. $56,250 OD. $39,960 Equivalent Units Direct Materials Costs 36,000 9,000 45,000 Equivalent Units Conversion Costs 36,000 3.960 39,960 45.000 Percent complete for conversion costs: 44% In addition to the above, the costs per equivalent unit were $1.25 for direct materials and $5.25 for conversion costs. Using this data, calculate the full cost of the ending WIP balance in the Mixing Department. The weighted-average method is used. C

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Pestiferous Manufacturing produces a chemical pesticide and uses process costing. There are three processing departments—Mixing, Refining, and Packaging. On January 1, the first department—Mixing—had no beginning inventory. During January, 45,000 fl. oz. of chemicals were started in production. Of these, 36,000 fl. oz. were completed, and 9,000 fl. oz. remained in process. In the Mixing Department, all direct materials are added at the beginning of the production process, and conversion costs are applied evenly throughout the process.

At the end of January, the equivalent unit data for the Mixing Department were as follows:

| UNITS                                         | Equivalent Units Direct Materials Costs | Equivalent Units Conversion Costs |
|-----------------------------------------------|-----------------------------------------|----------------------------------|
| Units to be accounted for Completed and transferred out | 36,000                                  | 36,000                           |
| Ending work – in-process*                     | 9,000                                   | 3,960                            |
| Total                                          | 45,000                                  | 39,960                           |

*Percent complete for conversion costs: 44%

In addition to the above, the costs per equivalent unit were $1.25 for direct materials and $5.25 for conversion costs. Using this data, calculate the full cost of the ending WIP balance in the Mixing Department. The weighted-average method is used.

- **O A. $32,040**
- **O B. $11,250**
- **O C. $56,250**
- **O D. $39,960**
Transcribed Image Text:Pestiferous Manufacturing produces a chemical pesticide and uses process costing. There are three processing departments—Mixing, Refining, and Packaging. On January 1, the first department—Mixing—had no beginning inventory. During January, 45,000 fl. oz. of chemicals were started in production. Of these, 36,000 fl. oz. were completed, and 9,000 fl. oz. remained in process. In the Mixing Department, all direct materials are added at the beginning of the production process, and conversion costs are applied evenly throughout the process. At the end of January, the equivalent unit data for the Mixing Department were as follows: | UNITS | Equivalent Units Direct Materials Costs | Equivalent Units Conversion Costs | |-----------------------------------------------|-----------------------------------------|----------------------------------| | Units to be accounted for Completed and transferred out | 36,000 | 36,000 | | Ending work – in-process* | 9,000 | 3,960 | | Total | 45,000 | 39,960 | *Percent complete for conversion costs: 44% In addition to the above, the costs per equivalent unit were $1.25 for direct materials and $5.25 for conversion costs. Using this data, calculate the full cost of the ending WIP balance in the Mixing Department. The weighted-average method is used. - **O A. $32,040** - **O B. $11,250** - **O C. $56,250** - **O D. $39,960**
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