Kansas Supplies is a manufacturer of plastic parts that uses the weighted-average process costing method to account for costs of production. It produces parts in three separate departments: Molding, Assembling, and Packaging. The following information was obtained for the Assembling Department for the month of April.

Work in process on April 1 had 75,000 units made up of the following:

During April, 375,000 units were transferred in from the Molding Department at a cost of $960,000. The Assembling Department added the following costs:
Direct materials . . . . . . . . . . . . . . . . . $576,000
Direct labor . . . . . . . . . . . . . . . . . . . . . 216,000
Manufacturing overhead . . . . . . . . . . 113,400
Total costs added . . . . . . . . . . . . . . . . $905,400
Assembling finished 300,000 units and transferred them to the Packaging Department. At April 30, 150,000 units were still in work-in-process inventory. The degree of completion of work-in-process inventory at April 30 was as follows:
Direct materials . . . . . . . . . . . . . . . . . . . . 90%
Direct labor . . . . . . . . . . . . . . . . . . . . . . . 70
Manufacturing overhead . . . . . . . . . . . . . 35
Required
a. Prepare a production cost report using the weighted-average method.
b. Management would like to decrease the costs of manufacturing the parts. In particular, it has set the following per unit targets for this product in the Assembling Department: Materials, $1.60; labor, $0.80; and manufacturing overhead, $0.36. Has the product achieved management's cost targets in the Assembling Department? Write a short report to management stating your answer(s).

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Degree of Amount Completion Molding Department $102,000 100% Costs added by the Assembling Department Direct materials Direct labor 120,000 100% 43,200 60% 27,600 50% $190,800