The welding department of Hirohama Manufacturing Company has the following production and manufacturing cost data for February 2022. All direct materials are added at the beginning of the process, and conversion costs are incurred uniformly throughout the process. Hirohama uses the FIFO method to calculate equivalent units of production.

Instructions 

Prepare a production cost report for the welding department for the month of February.

Transcribed Image Text:

Manufacturing Costs Beginning work in process inventory Costs added during month Direct materials Direct labour Manufacturing overhead $ 23,600 192,000 35,100 68,400 Production Data Beginning work in process inventory Units completed and transferred out Units started in production Ending work in process inventory 10,000 units, 10% complete 65,000 80,000 25,000, 20% complete