Reference no: EM132965539
Gygax Corporation makes Bubbles from Ooze using weighted average process costing. At the end of the period, they had the following data:
Beginning units in WIP ------- 8,000 Costs in Beginning WIP:
Units started --------- -------- 4,000 DM ----- $23,000
Units transferred out -------- 2,600 Conversion ---- $32,000
Current costs: DM $71,000
Conversion $61,400
Direct materials are added at the beginning of the process. Ending inventory is 75% complete for direct labor and manufacturing overhead.
Problem 1: How many equivalent units are used to calculate the unit cost of direct materials?
Problem 2: How many equivalent units are used to calculate the unit cost of conversion?