At Madson Distillery the company uses the weighted-average method of process costing. Direct materials are added at the beginning of the process and conversion costs are added throughout the process. Data for the finishing department follows:

Required:
A. What are the equivalent units for conversion costs?
B. What is the cost per equivalent unit for conversion costs?
C. What are the equivalent units for direct materials?
D. What is the total number of physical units for which to account?

Question

At Madson Distillery the company uses the weighted-average method of process costing. Direct materials are added at the beginning of the process and conversion costs are added throughout the process. Data for the finishing department follows:
  
Required:
A. What are the equivalent units for conversion costs?
B. What is the cost per equivalent unit for conversion costs?
C. What are the equivalent units for direct materials?
D. What is the total number of physical units for which to account?

Quizplus · Accepted Answer

The Answer of At Madson Distillery the company uses the weighted-average method of process costing. Direct materials are added at the beginning of the process and conversion costs are added throughout the process. Data for the finishing department follows:
  
Required:
A. What are the equivalent units for conversion costs?
B. What is the cost per equivalent unit for conversion costs?
C. What are the equivalent units for direct materials?
D. What is the total number of physical units for which to account?

At Madson Distillery the Company Uses the Weighted-Average Method of Process