The following information concerns production in the Forging Department for November. All direct materials are placed into the process at the beginning of production and conversion costs are incurred evenly throughout the process.
The beginning inventory consists of $9,000 of direct materials.
ACCOUNT: Work in Process-Forging Department ACCOUNT NO.
Balance
Date Item Debit Credit Debit Credit
Nov. 1 Bal., 900 units, 60% completed 10,566
Nov. 30 Direct materials, 12,900 units 123,840 134,406
Nov. 30 Direct labor 21,650 156,056
Nov. 30 Factory overhead 16,870 172,926
Nov. 30 Goods transferred, ? units ? ?
Nov. 30 Bal. 1,400 units, 70% completed ?
Required:
a. Determine the number of units transferred to the next department.
b. Determine the costs per equivalent unit of direct materials and conversion.
c. Determine the cost of units started and completed in November.