ACCT 460 CSUGC Process Costing & Costs per Equivalent Unit Project

Option #1: Process Costing

You Got Yogurt, Inc. manufactures yogurt that goes through three processing stages prior to completion. Information on work in the first department, flavor identification and blending, is given below for November:

Data on Production:

Pounds in process at November 1; materials 100% complete; conversion 70% complete                                 3,525

Pounds started into production during November                                                                                                    75,000

Pounds completed and transferred out                                                                                                                       ?

Pounds in process, November 30; materials 85% complete; conversion 40% complete                                    6,100

Data on Costs:

Work in process inventory, November 1: Materials cost                                                                                          $1,800

Conversion cost                                                                                                                                                                $3,700

Cost added during November:

Materials cost                                                                                                                                                                  $121,000

Conversion cost                                                                                                                                                              $147,700

The company uses the weighted-average method.

Submit your assignment as an Excel spreadsheet document, clearly organized, with each tab or section labeled by item number that demonstrates the following:

Compute the equivalent units of production.

Compute the costs per equivalent unit for the month.

Determine the cost of ending work in process inventory and of the units transferred out to the next department.

Prepare a cost reconciliation schedule for the month. Below the schedule, comment on what the cost reconciliation schedule tells us about the company’s costs.