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Harmon Company Uses the Weighted-Average Method in Its Process Costing

Question 105

Essay

Harmon Company uses the weighted-average method in its process costing system.The Curing Department of Harmon Company reported the following information for the month of November:
 Units  Conversion percentage  complet  Work in process, Novernber 110,00080% Units started 28,000 Completed and transferred  out 30,000 Work in process, November  30 8,00030%\begin{array} { | l | r | r | } \hline & \text { Units } & \begin{array} { r } \text { Conversion percentage } \\\text { complet }\end{array} \\\hline \begin{array} { l } \text { Work in process, Novernber } \\1\end{array} & 10,000 & 80 \% \\\hline \text { Units started } & 28,000 & \\\hline \begin{array} { l } \text { Completed and transferred } \\\text { out }\end{array} & 30,000 & \\\hline \begin{array} { l } \text { Work in process, November } \\\text { 30 }\end{array} & 8,000 & 30 \% \\\hline\end{array}
 Costs for November:  Materials  Conversion  Work in process, November 1$34,500$48,600 Added during the month $146,000$194,400\begin{array} { | l | r | r | } \hline \text { Costs for November: } & \text { Materials } & \text { Conversion } \\\hline \begin{array} { l } \text { Work in process, November } \\1\end{array} & \$ 34,500 & \$ 48,600 \\\hline \text { Added during the month } & \$ 146,000 & \$ 194,400 \\\hline\end{array}
All materials are added at the beginning of the process.
Required:
Compute the following items for the company's monthly production report using the weighted-average method:
a)The equivalent units (EUs)of production for materials.
b)The cost per equivalent unit for conversion.
c)The total cost assigned to units transferred out of the Curing Department during November.
d)The cost assigned to work-in-process inventory as of November 30.

Correct Answer:

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a)
b)($48,600 + $194,400)/32,400 EUs = ...

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