Sunspot Beverages, Ltd – collegepaperslab.com | Instant Assignment Help

Sunspot Beverages, Ltd – collegepaperslab.com | Instant Assignment Help

Accounting  – Business Finance

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.

 

   

Percent Completed

  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
to the Bottling Department.

  

 
4.

Prepare a cost reconciliation report for the Blending Department for June.

  

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