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Case 4-63 Passera Inc, manufactures a single product in a continuous processing environment. All materials are added at the beginning of the process, and conversion costs are applied evenly throughout the process. To assign costs to inventories, the company uses weighted-average process costing. The following information was available for 2016: Sales (selling price per unit, $40) Actual manufacturing overhead Selling and administrative expenses $4,080,000 660,000 328,000 Unit costs of production: Direct materials (1 kilogram) $ 6.00 Direct labour (1/2 hour) 8.00 Overhead 9.00 Total $23.00 Units transferred to finished goods Materials purchased Materials used in process 140,000 units 125,000 kilograms 136,000 kilograms An inventory count at year end (December 31, 2016) revealed that the inventories had the following balances: Raw materials Work in process (45% complete) Finished goods 8,000 kilograms 22,000 units 45,000 units The January 1, 2016, work in process units are 70% complete. The unit cost of production was the same in 2016 as it was in 2015. Calculate the following amounts for Passera Inc.: The opening (January 1, 2016) balance in units and costs of (1) raw materials, (2) work in process, and (3) finished goods. Units Cost (1) Opening Balances Raw Materials N $ (2) Opening Balances Work in Process 151 (3) Opening Balances Finished Goods The equivalent units for 2016 for (1) materials and (2) conversion costs. Material Conversion Equivalent units for 2016 The total cost for 2016 for (1) materials used and (2) conversion applied. Material Conversion Total cost for 2016 The cost of ending work in process for 2016. Cost assigned to ending work in process o The cost of units completed and transferred to finished goods. Cost of units completed and transferred to finished goods Case 4-63 Passera Inc, manufactures a single product in a continuous processing environment. All materials are added at the beginning of the process, and conversion costs are applied evenly throughout the process. To assign costs to inventories, the company uses weighted-average process costing. The following information was available for 2016: Sales (selling price per unit, $40) Actual manufacturing overhead Selling and administrative expenses $4,080,000 660,000 328,000 Unit costs of production: Direct materials (1 kilogram) $ 6.00 Direct labour (1/2 hour) 8.00 Overhead 9.00 Total $23.00 Units transferred to finished goods Materials purchased Materials used in process 140,000 units 125,000 kilograms 136,000 kilograms An inventory count at year end (December 31, 2016) revealed that the inventories had the following balances: Raw materials Work in process (45% complete) Finished goods 8,000 kilograms 22,000 units 45,000 units The January 1, 2016, work in process units are 70% complete. The unit cost of production was the same in 2016 as it was in 2015. Calculate the following amounts for Passera Inc.: The opening (January 1, 2016) balance in units and costs of (1) raw materials, (2) work in process, and (3) finished goods. Units Cost (1) Opening Balances Raw Materials N $ (2) Opening Balances Work in Process 151 (3) Opening Balances Finished Goods The equivalent units for 2016 for (1) materials and (2) conversion costs. Material Conversion Equivalent units for 2016 The total cost for 2016 for (1) materials used and (2) conversion applied. Material Conversion Total cost for 2016 The cost of ending work in process for 2016. Cost assigned to ending work in process o The cost of units completed and transferred to finished goods. Cost of units completed and transferred to finished goods

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