DeVry University

ACCT346 Weekly Assignment

Week 3

Directions: Your assignment this week is to answer the two questions below. Please note that Question #2 has 2 parts, Part A and Par
the box provided. Please add more rows or columns to the box if needed.

1. Beginning WIP inventory is 15,500 units, 75% complete for materials. During the month, 90,000 units were started; 87,000 wer
that were 50% complete for materials.

How many equivalent units should be used to allocate costs for materials? (Assume that the weighted average method is used,

Equivalent
Completed
Units

Units
Beg. WIP 75%

15,500
90,000
18,500

Units Started
EU in Ending WIP 50%
Cost Per EU =

11625
9250

Equivalent units of Productions

20,875

2. During a period, 38,200 units were completed and 4,200 units were in ending WIP inventory. Ending WIP was 75% complete
conversion costs.
2a. What are the equivalent units for direct materials?

Units

Completed

38,200

Ending WIP 75%

4,200

Equivalent Units for Direct

Materials

41350

Equivalent
Completed Units

3150

2b. What are the equivalent units for conversion costs?

Units
Completed

E. U. Con cost
38200

Ending WIP 50% complete conv.

Costs
Equivalent Units for Conversion Costs

2100

40300

###

sity
ssignment

stion #2 has 2 parts, Part A and Part B. Please show your work for full credit and use

0,000 units were started; 87,000 were finished; and ending WIP was 18,500 units

weighted average method is used, not FIFO.)

Cost for
Materials Units
finished
87,000

75%
50%

ory. Ending WIP was 75% complete for direct materials and 50% complete for

Completed
Conversion
costs

50%

Direct

75%

Conversion costs
50%

Weighted average method

Cost in beginning WIP + current period costs

Cost per equivalent unit =
Units completed + equivalent units in ending WIP

period costs

nding WIP