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Calculation of the equivalent units for conversion costs in process costing.
1. Roy Company manufactures a product in Departments A and B. Materials are added at the beginning of the process in Department B. Roy uses the weighted-average method in its process costing system. Conversion costs for Department B were 50% complete with respect to the 6,000 units in the beginning work in process and 75% complete with respect to the 8,000 units in the ending work in process. A total of 12,000 units were completed and transferred out of Department B during February. An analysis of the costs in Department B for February follows:
The total cost per equivalent unit during February was closest to:
a. $2.85
b. $2.78
c. $2.82
d. $2.75
2. Natiello Corporation uses the weighted-average method in its process costing system. Operating data for the Lubricating Department for the month of October appear below:
What were the equivalent units for conversion costs in the Lubricating Department for October?
a. 36,000
b. 41,000
c. 43,120
d. 45,620
3. The following information was provided by Fystro Corporation for the month of March. Fystro uses the weighted-average method in its process costing system.
How much cost did Fystro add to production during March?
a. $81,000
b. $57,000
c. $67,000
d. $62,000
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