Option #1: Process Costing
You Got Yogurt, Inc. manufactures yogurt that goes through three processing stages prior to completion. Information on work in the first department, flavor identification and blending, is given below for November:
Data on Production:
Pounds in process at November 1; materials 100% complete; conversion 70% complete
Pounds started into production during November
Pounds completed and transferred out
Pounds in process, November 30; materials 85% complete; conversion 40% complete
Data on Costs:
Work in process inventory, November 1: Materials cost
Cost added during November: Materials cost
The company uses the weighted-average method.
Submit your assignment as an Excel spreadsheet document, clearly organized, with each tab or section labeled by item number that demonstrates the following:
1. Compute the equivalent units of production.
2. Compute the costs per equivalent unit for the month.
3. Determine the cost of ending work in process inventory and of the units transferred out to the next department.
4. Prepare a cost reconciliation schedule for the month. Below the schedule, comment on what the cost reconciliation schedule tells us about the company’s costs.
Responses should be in complete sentences utilizing proper grammar. Your paper must be formatted according to APA requirements.
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