Author Question: Audrey Auto Accessories manufactures plastic moldings for car seats. Its costing system uses two ... (Read 53 times)

HudsonKB16 · **on:** Mar 6, 2021

Audrey Auto Accessories manufactures plastic moldings for car seats. Its costing system uses two cost categories, direct materials and conversion costs. Each product must pass through Department A and Department B. Direct materials are added at the beginning of production. Conversion costs are allocated evenly throughout production.

Data for Department A for February 2017 are:

Work in process, beginning inventory, 35% converted

400 units

Units started during February

900 units

Work in process, ending inventory:

300 units

25% complete as to conversion costs
100% complete as to materials

Costs for the Department A for February 2017 are:
Work in process, beginning inventory:

Direct materials

$606,000

Conversion costs

$159,000

Direct materials costs added during February

$4,009,000

Conversion costs added during February

$2,255,000

What were the equivalent units of direct materials and conversion costs, respectively, at the end of February? Assume Audrey uses the weighted-average process costing method.
◦ 1300; 1075
◦ 1300; 1300
◦ 1300; 1000
◦ 900; 600

mjbamaung · **Reply #1 on:** Mar 6, 2021

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