The following data show the units in beginning work in process inventory, the number of units started, the number of units transferred, and the percent completion of the ending work in process for conversion. Given that materials are added at the beginning of the process. Quarter Beginning WIP Started Transferred Out Conversion (%) 1 — 134,150 133,250 25 2 524 132,594 132,493 24 3 339 133,246 133,445 20 4 489 134,845 134,434 23 What are the equivalent units for material and conversion costs for each quarter using the weighted-average method? Assume that the quarters are independent. Quarter 1 Quarter 2 Quarter 3 Quarter 4 Units for material costs fill in the blank 1 fill in the blank 2 fill in the blank 3 fill in the blank 4 Units for conversion costs fill in the blank 5 fill in the blank 6 fill in the blank 7 fill in the blank 8
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
The following data show the units in beginning work in process inventory, the number of units started, the number of units transferred, and the percent completion of the ending work in process for conversion. Given that materials are added at the beginning of the process.
| Quarter | Beginning WIP |
Started | Transferred Out |
Conversion (%) |
| 1 | — | 134,150 | 133,250 | 25 |
| 2 | 524 | 132,594 | 132,493 | 24 |
| 3 | 339 | 133,246 | 133,445 | 20 |
| 4 | 489 | 134,845 | 134,434 | 23 |
What are the equivalent units for material and conversion costs for each quarter using the weighted-average method? Assume that the quarters are independent.
| Quarter 1 | Quarter 2 | Quarter 3 | Quarter 4 | |
| Units for material costs | fill in the blank 1 | fill in the blank 2 | fill in the blank 3 | fill in the blank 4 |
| Units for conversion costs | fill in the blank 5 | fill in the blank 6 | fill in the blank 7 | fill in the blank 8 |
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