On April 1, the Collins Co. had 6,000 units of work in Dept. B, the...
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Accounting
On April 1, the Collins Co. had 6,000 units of work in Dept. B, the second and last stage of their production cycle. The costs attached to these 6,000 units were P 12,000 of costs transferred in from Dept. A, P 2,500 of material cost added in Dept. B. Materials are added in the beginning of the process in Dept. B. Conversion was 50% complete on April 1. During April, 14,000 units were transferred in from Dept. A at a cost of P 27,000 and materials cost of P 3,500 and conversion costs of P 3,000 were added in Dept. B. On April 30, Dept. B had 5,000 units in work in process 60% complete as to conversion costs. The transferred in from Dept. A, P 1,800 of material costs added in Dept. B and P 800 of conversion costs added in Dept. B.
Using the weighted average method, the equivalent units for the month of April were:
Trans in fr. Dept. A Materials Conversion
a. 15,000 15,000 15,000
b. 19,000 19,000 20,000
c. 20,000 20,000 18,000
d. 25,000 25,000 20,000
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