Cost of Production Report; Materials Added at Two Different Stages; Average Costing. Zupton Manufacturing Corporation produces a product in three departments. The product is cut out of sheet metal in the Cutting Department, then transferred to the Forming Department, where it is bent to shape and certain parts purchased from outside vendors are added to the unit. Finally, the product is transferred to the Finishing Department where it is painted and packaged. The company uses a process cost system with an average cost flow assumption to account for its work in process inventories. Materials are added at two different stages in the Forming Department. Material A is added at the beginning of the process, and material B is added at the end of the process. At the end of May, there were 600 units in process in the Forming Department, 50% com¬ plete as to labor and overhead. During June, 3,900 units were received from the Cutting Department, and 4,100 units were completed and transferred to the Finishing Department. At the end of June, there were 400 units still in process in the Fomiing Department, 30% complete as to labor and overhead. Cost data related to June operations in the Fomiing Department are: LO3 Costs charged to the department:
Costs from the preceding department MaterialA.
MaterialB.
Directlabor.
Factoryoverhead.
Beginning Inventory $4,422 2,805 2,030 1,250 1,875 Added This Period $29,328 19,695 12,320 15,630 23,445 Required: Prepare a cost of production report for the Forming Department for the month of June.