Answer:
unit beggining WIP 0
Units started and completed 31,000
Ending inventory 4,100
Total physical units 35,100
Equivalent units (materials)
Units started and completed 31,000
WIP materials (4,100 x 100%) 4,100
Total units accounted for 35,100
Equivalent units (conversion)
Units started and completed 31,000
WIP materials (4,100 x 40%) 1,640
Total units accounted for 32.640
Cost Incurred during March:
35, 100 x 4 = 140,400
32,640 x 13 = 1,044,480
Total cost 1, 184,880
Cost assigned to units transferred out
31,000 x (4 + 13) = 527,000
Cost of WIP
4,100 x 4 = 16.400
1,640 x 13 = 21,320
Total 37,720
Explanation:
We need to do the count of physical units
we need to calcualte the equivalent units:
transferred + ending x completion percentage
then the cost incurred
and allocate cost to finished goods and the ending WIP based on the equivalent units of materials and conversion
