FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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SB (Algo) Calculating Equivalent Units, Cost per Equivalent Unit, Reconciling the Cost of Work in Process
[LO 3-2, 3-4]
[The following information applies to the questions displayed below.]
Silver Company manufactures kites and has the following information available for the month of April:
Work in process, April 1
(100% complete for materials, 40% for conversion)
Direct materials
Conversion cost
Number of units started
April costs
Direct materials
Conversion cost
Work in process, April 30
(100% complete for materials, 20% for conversion)
E3-7 (Algo) Weighted-Average Method [LO 3-2]
58,000 units
$ 86,000
3. Calculate the cost per equivalent unit.
4. Reconcile the total cost of work in process.
$ 116,000
164,000 units
$ 232,000
$ 342,000
83,000 units
Required:
Using the weighted-average method, complete each of the following steps:
1. Reconcile the number of physical units worked on during the period.
2. Calculate the number of equivalent units.
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Transcribed Image Text:Required information SB (Algo) Calculating Equivalent Units, Cost per Equivalent Unit, Reconciling the Cost of Work in Process [LO 3-2, 3-4] [The following information applies to the questions displayed below.] Silver Company manufactures kites and has the following information available for the month of April: Work in process, April 1 (100% complete for materials, 40% for conversion) Direct materials Conversion cost Number of units started April costs Direct materials Conversion cost Work in process, April 30 (100% complete for materials, 20% for conversion) E3-7 (Algo) Weighted-Average Method [LO 3-2] 58,000 units $ 86,000 3. Calculate the cost per equivalent unit. 4. Reconcile the total cost of work in process. $ 116,000 164,000 units $ 232,000 $ 342,000 83,000 units Required: Using the weighted-average method, complete each of the following steps: 1. Reconcile the number of physical units worked on during the period. 2. Calculate the number of equivalent units.
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