1.

Inflation impacted both the cost of raw materials and labor rates. As a result, the 'Total costs for May in Decorating Department' for both Direct Materials and Conversion costs are incorrect. The new amounts are:

Direct Materials = $23,336.34

Conversion = $4,983.30

Calculate the 'Total costs assigned by the Decorating Department' using the new costs. Information in the Unit Information section remains unchanged.

There are a number of interim calculations. Use the workbook to make the process a bit easier and round your answer to the nearest whole number.

The Cupcake Escape Cost of Production Report - Decorating Department For the Month Ending May 30 Unit Information Units charged to production: Inventory in process, May 1 Received from Baking Department Total units accounted for by the Production Department 1031,5421,645 Units to be assigned costs