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Scott Company has two departments, Cutting and Shapping that it uses weighted average process costing for. Materials are added at the beginning of both departments- conversion costs occur uniformly during the process. For the month of March both departments were 25% complete for conversion of WIP. Beginning inventories were both 40% complete.
There is no unaccouned for inventory; the inventory that is not shown above is all considered ABNORMAL spoilage. (inspection of goods is done at the end of the Cutting process and half way through shaping.)
Required:
1 What is the total inventory value and per unit cost of inventory transferred from Cutting to Shaping?
ONLY DO THE COSTS FOR CUTTING DEPARTMENT!!
2 What is the cost of remaining in Work-in-process in Cutting?
Clearly label and show calculations for Equivalent Units & Cost per Equivalent Units & Costs of Inventory.
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