The following information relates to the Assembly Department of Jataca Corporation for the month of November.Jataca uses a weighted-average process costing system.All materials at Jataca are added at the beginning of the production process. On November 1,the work in process inventory account contained $6,400 of material cost and $4,400 of conversion cost.Cost per equivalent unit for November was $1.50 for materials and $2.80 for conversion costs. What total amount of cost should be assigned to the units transferred out during November?

Question

The following information relates to the Assembly Department of Jataca Corporation for the month of November.Jataca uses a weighted-average process costing system.All materials at Jataca are added at the beginning of the production process.  On November 1,the work in process inventory account contained $6,400 of material cost and $4,400 of conversion cost.Cost per equivalent unit for November was $1.50 for materials and $2.80 for conversion costs. What total amount of cost should be assigned to the units transferred out during November?

Quizplus · Accepted Answer

Weighted-average method
Units completed and transferred out = Units in beginning work in process inventory + Units started into production or transferred in - Units in ending work in process inventory
Units completed and transferred out = 4,000 + 317,000 - 10,000 = 311,000
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The Following Information Relates to the Assembly Department of Jataca