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Question - Moravia Company processes and packages cream cheese. The following data have been compiled for the month of April. Conversion activity occurs uniformly throughout the production process.
Prepare schedules to accomplish each of the following process-costing steps for the month of April. Use the weighted-average method of process costing.
Information Needed:
Work in process, April 1-10,000 units:
Direct material: 100% complete, cost of
$22,000
Conversion: 20% complete, cost of
$4,500
Balance in work in process, April 1
$26,500
Units started during April
100,000
Units completed during April and transferred out to finished-goods inventory
80,000
Work in process, April 30:
Direct material: 100% complete
Conversion: 33 1 3 % complete
Costs incurred during April:
Direct material
$198,000
Conversion costs:
Direct labor
$52,800
Applied manufacturing overhead
105,600
Total conversion costs
$158,400
Required - Computation of unit costs.
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