The Blending Department of Luongo Company has the following cost and production data for the month of April.
Work in process, April 1
Direct materials: 100% complete ………………$100,000
Conversion costs: 20% complete ……………… 70,000
Cost of work in process, April 1 …………….…$170,000
Costs incurred during production in April
Direct materials …………………………………$ 800,000
Conversion costs ………………………………. 365,000
Costs incurred in April ………………………… $1,165,000
Units transferred out totaled 17,000. Ending work in process was 1,000 units that are 100% complete as to materials and 40% complete as to conversion costs.
(a) Compute the equivalent units of production for
(1) Materials and
(2) Conversion costs for the month of April.
(b) Compute the unit costs for the month.
(c) Determine the costs to be assigned to the units transferred out and in ending work in process.
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