Fifth edition Alnoor Bhimani Charles T. Horngren Srikant M. Datar Madhav V. Rajan Farah Ahamed

§ From Solution Exhibit Ab Weighted-average

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§
From Solution Exhibit Ab Weighted-average
method.
(25 min) Solution Exhibit A shows equivalent units of work done in the current period of Direct materials
2,200 equivalent units Conversion costs
2,005 equivalent units Solution Exhibit B calculates cost per equivalent unit of opening work in progress and of work done in the current period for direct materials and conversion costs. Solution Exhibit C summarises the total Forming Department costs for April 2010, and assigns these costs to units completed (and transferred out) and to units in closing work in progress using the weighted-average method.

Bhimani, Horngren, Datar and Rajan, Management and Cost Accounting, 5
th
Edition, Instructor’s Manual
© Pearson Education Limited 2012
Solution Exhibit Ab Steps 1 and 2: Summarise output in physical units and calculate equivalent units, Forming Department of Sligo Toys for April 2010.

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