# E3-7 Calculating Equivalent Units, Cost per Equivalent Unit, Reconciling the Cost of Work in Process (Weighted-Average Method) [LO 3-2, 3-3]Silver Company manufactures kites and has the following information available for the month of April:Work in process, April 1(100% complete for materials, 46% for conversion)Direct materials33,000 units50,00056,000Conversion cost\$Number of units started79,000 unitsApril costsDirect materials106,000171,000Conversion costWork in process, April 30(100% complete for materials, 29% for conversion)36,000 unitsEA CA

Question
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1. reconcile the number of physical units

2.calculate the number of equivalent units

3.calculate the cost per unit

4. record the total cost of work in process

I am unsure how to do this problem and keep getting it incorrect help_outlineImage TranscriptioncloseE3-7 Calculating Equivalent Units, Cost per Equivalent Unit, Reconciling the Cost of Work in Process (Weighted-Average Method) [LO 3-2, 3-3] Silver Company manufactures kites and has the following information available for the month of April: Work in process, April 1 (100% complete for materials, 46% for conversion) Direct materials 33,000 units 50,000 56,000 Conversion cost \$ Number of units started 79,000 units April costs Direct materials 106,000 171,000 Conversion cost Work in process, April 30 (100% complete for materials, 29% for conversion) 36,000 units EA CA fullscreen
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Step 1

1.

Reconciling the number of physical units:

The results of the formulas used in the excel sheet are shown in the following table: help_outlineImage TranscriptioncloseC A Physical units Physical units 2 Beginning units |33000 79000 =B2+B3 Units Completed -D4-D3 Ending units Total units 36000 =B4 3 Units Started 4 Total units A B C Physical units Physical units 1 33000 Units Completed 79000 Ending units 112000 Total units 2 Beginning units 3 Units Started 76000 36000 4 Total units 112000 fullscreen
Step 2

2

Calculation of number of equivalent units:

The results of the formulas used in the excel sheet are shown in the following table: help_outlineImage TranscriptioncloseA В C D E Equivalent units of production Direct Material =B8*C8 |=B9*C9 -D8+D9 6 Physical units Conversion Cost =B8*E8 0.29 B9*E9 -F8+F9 7 8 Units Completed |76000 1 1 36000 9 Ending units 1 10 Equivalent units|=B8+B9 A В C F Equivalent units of production 6 |Physical units Direct Material 76000 100% 36000 29% Conversion Cost 7 76000 100% 36000 100% 8 Units Completed 9 Ending units 10 Equivalent units 76000 10440 112000 112000 86440 fullscreen
Step 3
1. Calculation of cost per unit... help_outlineImage TranscriptioncloseA B C Cost per equivalent unit Direct Material 50000 106000 -B14+B15 112000 |=B16/B17 12 13 Conversion Cost Total =B14+C14 =B15+C15 =B16+C16 56000 171000 =C14+C15 86440 -C16/C17 14 Beginning WIP 15 April costs 16 Total cost 17 Equivalent units 18 Cost per unit =B18+C18 19 Reconciling the cost of work in process Direct Material =D8*B18 |=D9*B18 20 Conversion Cost Total 21 =F8*C18 =F9*C18 =B22+C22 |=B23+C23 22 Completed 23 Ending inventory 24 Total cost accounted for =B22+B23 =D22+D23 |=C22+C23 fullscreen

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