Sunspot Beverages, Limited, of Fiji uses the weighted-average method in its process costing system. It makes blended tropical fruit drinks in two stages. Fruit juices are extracted from fresh fruits and then blended in the Blending Department. The blended juices are then bottled and packed for shipping in the Bottling Department. The following information pertains to the operations of the Blending Department for June.     Units Percent Completed Materials Conversion Work in process, beginning 66,000 70% 40% Started into production 333,000     Completed and transferred out 323,000     Work in process, ending 76,000 75% 25%     Materials Conversion Work in process, beginning $ 24,000 $ 8,300 Cost added during June $ 257,200 $ 176,380   Required: 1. Calculate the Blending Department's equivalent units of production for materials and conversion in June. 2. Calculate the Blending Department's cost per equivalent unit for materials and conversion in June. 3. Calculate the Blending Department's cost of ending work in process inventory for materials, conversion, and in total for June.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Sunspot Beverages, Limited, of Fiji uses the weighted-average method in its process costing system. It makes blended tropical fruit drinks in two stages. Fruit juices are extracted from fresh fruits and then blended in the Blending Department. The blended juices are then bottled and packed for shipping in the Bottling Department. The following information pertains to the operations of the Blending Department for June.

 

  Units Percent Completed
Materials Conversion
Work in process, beginning 66,000 70% 40%
Started into production 333,000    
Completed and transferred out 323,000    
Work in process, ending 76,000 75% 25%

 

  Materials Conversion
Work in process, beginning $ 24,000 $ 8,300
Cost added during June $ 257,200 $ 176,380

 


Required:

1. Calculate the Blending Department's equivalent units of production for materials and conversion in June.

2. Calculate the Blending Department's cost per equivalent unit for materials and conversion in June.

3. Calculate the Blending Department's cost of ending work in process inventory for materials, conversion, and in total for June.

4. Calculate the Blending Department's cost of units transferred out to the Bottling Department for materials, conversion, and in total for June.

5. Prepare a cost reconciliation report for the Blending Department for June.

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