Reference no: EM132603433

Juice & Fruit Company uses a weighted average process costing system.

1. conversion costs incur evenly throughout the process -Direct Material are added at the beginning of the process
2. Inspection occurs when production is 75% complete
3. Normal Spoilage is 4% of good units completed

The following is additional Information for the month of January

Physical units

20,000. Beginning WIP(30% complete)

210,000. Stated in January

196,000 Completed in January

24,000 Ending WIP ( 60% completed)

Costs

Beginning Work in Process cost

Direct material $65,000

Conversion Costs $73,000

Costs Incurred during January

Direct Material $869,400

Conversion Costs $2,373,280

Required.

Question 1: Calculate the equivalents units for January using the Weighted Average Method including the physical units reconciliations.

Question 2: Calculate the cost per equivalent unit for January using Weighted Average method.

Question 3: Assign costs to the units completed and transferred out. and abnormal spoilage

Question 4: Prepare journal entries for the costs you assigned in part 3.