Stein Corporation manufactures in separate processes refrigerators and freezers for homes. In each process, materials are entered at the beginning and conversion costs are incurred uniformly. Production and cost data for the first process in making two products in two different manufacturing plants are as follows.

Instructions

a) For each plant:

1. Compute the physical unit flow.

2. Compute equivalent units of production for materials and for conversion costs.

3. Determine the unit costs of production.

4. Show the assignment of costs to units transferred out and in process.

b) Prepare the production cost report for Plant A for June 2005.

Transcribed Image Text:

Stamping Department Plant A R12 Refrigerators Plant B F24 Freezers Production Data June Work in process units, June 1 Units started into production Work in process units, June 30 Work in process percent complete 20,000 2,000 70%o 20,000 3,000 50% Cost Data-June Work in process, June 1 Materials Labor Overhead Total $ -0 840,000 200,800 420,000 $1,460,800 700,000 236,000 319,000 $1,255,000