Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of process costing.

Question

Fields Company operates two manufacturing departments: forming and painting. The company employs the weighted-average method of process costing. At the beginning of the month, the forming department had 30,000 units in inventory, which were 65% complete in terms of materials and 35% complete regarding conversion costs. The beginning inventory cost totaled $61,000, comprising $45,000 in direct materials costs and $16,000 in conversion costs. During the month, the forming department started an additional 300,000 units. By the end of the month, the forming department had 35,000 units in ending inventory, which were 90% complete as to materials and 20% complete as to conversion costs. Units completed in the forming department are transferred to the painting department. The cost information for the forming department is as follows: Beginning work in process inventory: $61,000; Direct materials added during the month: $1,261,000; Conversion costs added during the month: $890,000.

Calculate the equivalent units of production for the forming department. 
Calculate the costs per equivalent unit of production for the forming department. 
Using the weighted-average method, assign costs to the forming department’s output, specifically its units transferred to painting and its ending work in process inventory.

Anonymous · Accepted Answer

.Calculate the equivalent units of production for the forming departmentEquivalent units of production 468,000 448,000Explanation:1. Direct Materials 468,000Conversion 448,000Explanation:Equivalent Units of Production—Weighted Average DirectMaterials Conversion Units completed & transferred out (432,000 × 100%) 432,000 432,000Units of ending work in processDirect materials (40,000 × 90%) 36,000Conversion (40,000 × 40%) 16,000Equivalent units of production 468,000 448,000

Anonymous · Answer

AnswerThe answer and procedures of the exercise are attached in the following archives.Step-by-step explanation:You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.

Mr. Garfield Kovacek PhD

Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of process costing.

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