What is the total inventory value and per unit cost

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Reference no: EM131947368

Scott Company has two departments, Cutting and Shapping that it uses weighted average process costing for. Materials are added at the beginning of both departments- conversion costs occur uniformly during the process. For the month of March both departments were 25% complete for conversion of WIP. Beginning inventories were both 40% complete.

Following is additional informaion:
	Cutting	Shaping
Units in beginning inventory	1,000	3,000
Units started this month	9,000	7,400
Good units transerred out	7,400	6,000
Normal spoilage	10%	5%
Ending Inventory	1,600	4,000
Beginning Material Inventory cost	$10,000	$15,000
Beginning Cnversion inventory cost	$20,000	$15,000
Material costs incurred during March	$150,000	$175,000
Conversion costs incurred during March	$200,000	$250,000

There is no unaccouned for inventory; the inventory that is not shown above is all considered ABNORMAL spoilage. (inspection of goods is done at the end of the Cutting process and half way through shaping.)

Required:

1 What is the total inventory value and per unit cost of inventory transferred from Cutting to Shaping?

ONLY DO THE COSTS FOR CUTTING DEPARTMENT!!

2 What is the cost of remaining in Work-in-process in Cutting?

Clearly label and show calculations for Equivalent Units & Cost per Equivalent Units & Costs of Inventory.

Reference no: EM131947368

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