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Nader Paints makes an environmentally sound paint. The following data are available for the month of April:
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Percentage
Units Complete Costs
Beginning WIP inventory, April ………………………. 11,000
Direct materials………………………………………… 75% $ 3,200
Conversion costs …………………………………….. 70 1,450
Units started in April …………………………………….. 6,000
Costs incurred in April:
Direct materials………………………………………… 16,000
Conversion costs …………………………………….. 15,800
Ending WIP inventory …………………………………… 3,000
Direct materials………………………………………… 80
Conversion costs …………………………………….. 60
Spoilage …………………………………………………….. 200
Direct materials………………………………………… 100
Conversion costs …………………………………….. 100
Required
a. Prepare a production cost report using weighted-average costing.
b. Show the flow of costs through the WIP Inventory T-account.
