Drawing Department Winding Department
Work in process, July 1 500 units, 50% completed 350 units, 30% completed
Completed and transferred to next
processing department during July 11,400 units 10,950 units
Work in process, July 31 700 units, 55% completed 800 units, 25% completed
Each department uses the average cost method.
a. Determine the number of whole units to be accounted for and to be assigned costs and the equivalent units of production for the Drawing Department.
b. Determine the number of whole units to be accounted for and to be assigned costs and the equivalent units of production for the Winding Department.
Answer:
a. Drawing Department
Whole
Units
Equivalent Units
of Production
Units to be accounted for:
Beginning work in process 500
Units started during period 11,6001
Total 12,100
Units to be assigned costs:
Transferred to Winding Department in July 11,400 11,400
Inventory in process, July 31
(55% completed) 700 3852
Total 12,100 11,785
1 11,400 units – 500 units + 700 units
2 55% × 700 units
b. Winding Department
Whole
Units
Equivalent Units
of Production
Units to be accounted for:
Beginning work in process 350
Units started during period 11,4001
Total 11,750
Units to be assigned costs:
Transferred to finished goods in July 10,950 10,950
Inventory in process, July 31
(25% completed) 800 2002
Total 11,750 11,150
1 10,950 units – 350 units + 800 units
2 25% × 800 units