South River Chemical manufactures a product called Zbek. Direct materials are added at the beginning of the process, and conversion activity occurs evenly throughout production. The beginning work-in-process inventory is 60% complete with respect to conversion; the ending work-in-process inventory is 20% complete. The following data pertains to May: Units Work in process, May 1 15,000 Units started during May 60,000 Units completed and transferred out 68,000 Work in process, May 31 7,000 Costs: Total Direct Materials Conversion Costs Work in process, May 1 $41,250 $16,500 $24,750 Costs incurred during May $234,630 $72,000 $162,630 Totals $275,880 $88,500 $187,380 Using the weighted-average method of process costing, the equivalent units of direct materials total: a. 68,000 units. b. 69,400 units. c. 74,000 units. d. 75,000 units. e. 75,400 units.

South River Chemical manufactures a product called Zbek. Direct materials are added at the beginning of the process, and conversion activity occurs evenly throughout production. The beginning work-in-process inventory is 60% complete with respect to conversion; the ending work-in-process inventory is 20% complete. The following data pertains to May: Units Work in process, May 1 15,000 Units started during May 60,000 Units completed and transferred out 68,000 Work in process, May 31 7,000 Costs: Total Direct Materials Conversion Costs Work in process, May 1 $41,250 $16,500 $24,750 Costs incurred during May $234,630 $72,000 $162,630 Totals $275,880 $88,500 $187,380 Using the weighted-average method of process costing, the equivalent units of direct materials total: a. 68,000 units. b. 69,400 units. c. 74,000 units. d. 75,000 units. e. 75,400 units.

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter6: Process Costing

Section: Chapter Questions

Problem 16E: Heap Company manufactures a product that passes through two processes: Fabrication and Assembly. The...

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