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Weighted Average Method, Equivalent UnitsGoforth Company produces a product where all manufacturing inputs are applied uniformly. Goforth produced the following physical flow schedule for April:Units to account for:Units in BWIP (40% complete) 180,000Units started 420,000 Total units to account for 600,000Units accounted for:Units completed:From BWIP 180,000Started and completed 324,000504,000Units, EWIP (75% complete) 96,000600,000Prepare a schedule of equivalent units using the weighted average method.Goforth CompanySchedule of equivalent units(Weighted Average Method)Units completed ?Units in ending work in process x fraction complete: ?Equivalent units of output ?

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Answer:

Explanation:

Opening units  180000

Started                  420000

                         600000

Transffered          504000

Closing                   96000

schedule of equivalent units using the weighted average method

Cost Element   Complete   Closing WIP   Equivellant production units  

Material            504,000       96,000           600,000  

Labour Cost    504,000       72,000            576,000  

closing wip with respect to conversion represents 75% of 96000 units

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