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Piscataway Plastics Company manufactures a highly specialized plastic that is used extensively in the automobile industry. The following data have been compiled for the month of June. Conversion activity occurs uniformly throughout the production process.
Work in process, June 1 (units)
50,000
Direct material: 100% complete cost of
120,000
Conversion: 40% complete, cost of
34,400
Balance in work in process, June 1
154,400
Units started during June
200,000
Units completed during June and transferred out to finished-goods inventory
190,000
Work in process, June 30:
Direct material: 100% complete
Conversion: 60% complete
Costs incurred during June:
Direct material
492,500
Conversion costs:
Direct labor
87,450
Applied manufacturing overhead
262,350
Total conversion costs
349,800
Required:
Prepare schedules to accomplish each of the following process-costing steps for the month of June. Use the weighted-average method of process costing.
1. Analysis of physical flow of units.
2. Calculation of equivalent units.
3. Computation of unit costs.
4. Analysis of total costs.
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