Bluesky Limited"s Assembly Department had 20,000 units in its WIP inventory on March 1, 2012. Direct materials are added at the beginning of the assembly process. An additional 60,000 units were started during March, and 15,000 units were in the WIP inventory on March 31, 2012. The units in the WIP inventory on March 31 were 30% complete with respect to conversion.
Costs incurred in the Assembly Department for March 2012 were as follows:
WIP March 1Costs Incurred in March
Using the weighted average method of process costing, the cost of goods completed and transferred to finished goods inventory during March and the cost of work-in-process inventory on March 31, 2012, are $277,150; $87,000 $309,400; $54,757 $295,872; $20,483 $295,872; $68,278