Murray Inc. manufactures bicycle frames in two departments: Cutting and Welding. Murray uses the weighted average method. Manufacturing costs are added uniformly throughout the process.
The following are cost and production data for the cutting department for October:
Production:
Units in process, October 1, 40 percent complete ....... 10,000
Units completed and transferred out ............ 68,000
Units in process, October 31, 60 percent complete ........ 20,000
Costs:
WIP, October 1 .............. $ 80,000
Costs added during October ......... 1,520,000

Required:
Prepare a production report for the cutting department.