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Base your answer on the data from Paxton, Inc. for March. Paxton uses the average costing method.
Paxton, Inc. for March
Quantity
Costs
Beginning Work in Process
Current Month
Work in Process-Beginning
24,000
Materials
$50,000
$180,000
Started in Production-Current Month
176,000
Labor
11,460
110,780
Transferred Out to Finished Goods
Overhead
3,820
40,110
Joint Product No. 1
100,000
Total
$65,280
$330,890
Joint Product No. 2
70,000
Work in Process-Ending
30,000
Stage of Completion of Beginning Work in Process Ending Work in Process
100% 100%
60% 70%
Sales Value
$2.00 per unit
$4.00 per unit
Additional Completion Costs
$0.30 per unit
-0-
What are the equivalent production units for materials, labor, and overhead, respectively?
What is the total cost to be accounted for?
What are the unit costs of materials, labor, and overhead, respectively?
What is the total cost transferred out?
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