Lost units; cost of production summaries}

Acapulco Products Co. uses the process cost system. A record of the factory operations for the month of October follows:

{Required:}
Prepare a cost of production summary, assuming that the cost of lost units is absorbed by the good units completed.

Transcribed Image Text:

Production Summary Units Started in process.... 12,500 Finished and transferred to stockroom 9,500 In process, end of month, one-half completed as to materials, labor, and overhead 1,000 Cost Summary Materials Labor Factory overhead $30,000 12,000 18,000