Reference no: EM132680566

Sunspot Beverages, Ltd., 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.

                                       Percent Completed Units  Materials         Conversion

Work in process, beginning        54,000                             70%              40%

Started into production              282,000

Completed and transferred out   272,000

Work in process, ending           64,000                                  75%                 25%

                                                    Materials               Conversion

Work in process, beginning       $18,300                $5,600

Cost added during June           $196,100            $118,240

Required:

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

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

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

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

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