GoFly Company manufactures kites and has the following information available for the month of April:

GoFly Company manufactures kites and has the following information available for the month of April:

 

Work in process, April 1
(100% complete for materials, 47% for conversion)		26,000	units
Direct materials	$	44,000
Conversion cost	$	57,000
Number of units started		84,000
April costs
Direct materials	$	104,000
Conversion cost	$	165,000
Work in process, April 30
(100% complete for materials, 30% for conversion)		40,000	units

 

Required:

Using the weighted average method, complete each of the following steps:

 

(a)	Reconcile the number of physical units worked on during the period.

 

	Physical Units				Physical Units
Beginning Units	26,000			Units Completed	70,000
Units Started	84,000			Ending Units	40,000
Total Units	110,000			Total Units	110,000

 

(b)	Calculate the number of equivalent units.

 

	Equivalent Units
	Direct Materials		Conversion
Units Completed	70,000		70,000
Ending Inventory	40,000		12,000
Total	110,000		82,000

 

(c)	Calculate the cost per equivalent unit. (Round your answers to 5 decimal places. Omit the "$" sign in your response.)

	Direct Materials			Conversion
Cost per Equivalent Unit	$	1.34545		$	2.70732

(d)	Reconcile the total cost of work in process. (Use rounded cost per Equivalent unit. Round your answers to the nearest dollar amount. Omit the "$" sign in your response.)

 

	Direct Materials			Conversion			Total Cost
Units Completed	$	94,181.5		$	189,512.19		$	283,693.69
Ending Inventory		53,818			32,487.804			86,305.804
Total Cost Accounted for	$	147,999.5		$	221,999.994		$	369,999.494

Explanation:

(a)

Units completed (Physical) 110,000 – 40,000 = 70,000

(b)

Ending inventory (Conversion) 40,000 × 30% = 12,000

(c)

	Direct Materials			Conversion
Beginning Inventory Costs	$	44,000		$	57,000
Current Period Cost		104,000			165,000
Total Cost	$	148,000		$	222,000
Equivalent Units	÷	110,000		÷	82,000
Cost per Equivalent Unit	$	1.34545		$	2.70732

(d)

Units Completed (Direct Materials) 70,000 × $1.34545 = $94,182

Units Completed (Conversion) 70,000 × $2.70732 = $189,512

Ending Inventory (Direct Materials) 40,000 × $1.34545 = $53,818

Ending Inventory (Conversion) 12,000 × $2.70732 = $32,488