In July, one of the processing departments at Okamura Corporation had beginning work in process inventory of $22,000 and ending work in process inventory of $27,000. During the month, the cost of units transferred out from the department was $157,000. In the department's cost reconciliation report for July, the total cost to be accounted for under the weighted-average method would be:

Question

Gisselle Fuller

Business

17 January, 15:09

In July, one of the processing departments at Okamura Corporation had beginning work in process inventory of $22,000 and ending work in process inventory of $27,000. During the month, the cost of units transferred out from the department was $157,000. In the department's cost reconciliation report for July, the total cost to be accounted for under the weighted-average method would be:

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Answers (1)

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Camron May · Answer 1

The total cost to be accounted for under the weighted-average method would be $184,000

Explanation:

Given information,

Beginning work in process inventory = $22,000

Ending work in process inventory = $27,000.

The cost of units transferred out from the department = $157,000

Under weighted average method, the beginning Work in process inventory is not considered. So, the total cost would be displayed below.

Total cost = The cost of units transferred out from the department + Ending work in process inventory

= $157,000 + $27,000

= $184,000

Thus, the total cost to be accounted for under the weighted-average method would be $184,000