Sunspot Beverages, Ltd – collegepaperslab.com | Instant Assignment Help
Sunspot Beverages, Ltd – collegepaperslab.com | Instant Assignment Help
Accounting – Business Finance
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Sunspot Beverages, Ltd., of Fiji makes blended tropical fruit drinks in two stages. Fruit juices are extracted from fresh fruits and then blended in the Blending Department. The blended juices are then bottled and packed for shipping in the Bottling Department. The following information pertains to the operations of the Blending Department for June. |
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Percent Completed |
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| Units | Materials | Conversion | |
| Work in process, beginning | 20,000 | 100% | 75% |
| Started into production | 180,000 | ||
| Completed and transferred out | 160,000 | ||
| Work in process, ending | 40,000 | 100% | 25% |
| Materials | Conversion | |||
| Work in process, beginning | $ | 25,200 | $ | 24,800 |
| Cost added during June | $ | 334,800 | $ | 238,700 |
| Required: |
| Assume that the company uses the weighted-average method. |
| 1. | Determine the equivalent units for June for the Blending Department. |
| 2. |
Compute the costs per equivalent unit for the Blending Department. (Round your answers to 2 decimal places.) |
| 3. |
Determine the total cost of ending work in process inventory and the total cost of units transferred |
| 4. |
Prepare a cost reconciliation report for the Blending Department for June. |
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