Question: Circle D Fastener Corporation accumulates costs for
Circle D Fastener Corporation accumulates costs for its single product using process costing. Direct material is added at the beginning of the production process, and conversion activity occurs uniformly throughout the process. A partially completed production report for the month of June follows. 
Required: 1. Complete each of the following process-costing steps using the weighted-average method: a. Calculation of equivalent units. b. Computation of unit costs. c. Analysis of total costs. 2. Prepare a journal entry to record the transfer of the cost of goods completed and transferred out during June.
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Production Report For the Month of June Percentage of Completion with Respect to Conversion Equivalent Units Physical Units Direct Material Conversion Work in process, June 1 Units started during June . 30,000 35% 34,000 Total units to account for. 64,000 40,000 Units completed and transferred out during June Work in process, June 30. 40,000 40,000 24,000 75% 24,000 18,000 Total units accounted for 64,000 (continues) *Note to instructors: This problem relates to problem 14 in the supplement, Process Costing: The First-In, First-Out Method. Assigning these two problems together facilitates a comparison of the weighted-average and FIFO methods. Direct Material Conversion Total Wark in process, June 1 Costs incurred during June . $ 623,400 2,221,500 $2,844,900 $ 771,000 2,422,700 $3,193,700 $147,600 201,200 Total costs to account for $348,800
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