2. Asia, Inc. manufactures one product in two departments on a continuous basis and uses the average cost method of process cost accounting. The following information was reported for the month of August, 2018: Production Costs Cutting Assembly Department Department $ 8,700 Work in process, beginning of month: Cost in Cutting Department Materials Labor Factory overhead Costs incurred during month: Materials Labor Factory overhead Total $ 8,600 4,200 3,500 $ 585 1,600 1,000 $ 16,300 3,185 $61,400 26,425 22,750 $5,595 12,820 8,064 26,479 110,575 $126.875 Production Report In process, beginning of month Finished and transferred during month Work in process, end of month Stage of completion Cutting Assembly Department Department 1,100 600 8,000 8,000 1,500 600 50% 40% B C D A 4 For the Month Ended August 31, 20-- 5 Cost of work in process, beginning of month: 6 Materials 7 Labor 8 Factory overhead 9 Cost of production for month: 10 Materials 11 Labor 12 Factory overhead 13 Total costs to be accounted for 14 Unit output for month: 15 Finished and transferred to Assembly Department 16 during month 17 Equivalent units of work in process, end of 18 month 19 Total equivalent production 20 Unit cost for month: 21 Materials 22 Labor 23 Factory overhead 24 Total 25 Inventory costs: 26 Cost of goods finished and transferred 27 to Assembly Department during month 28 Cost of work in process, end of month: 29 Materials 30 Labor 31 Factory overhead 32 Total production costs accounted for 33 24 2.b Asia, Inc. Cost of Production Summary--Assembly Department For the Month Ended August 31, 20-- Cost of work in process, beginning of month: Cost in Cutting Department Cost in Assembly Department: Materials Labor Factory overhead Cost of goods received from Cutting Department during month Cost of production for month: Materials Labor Factory overhead Total costs to be accounted for Unit output for month: Finished and transferred to stockroom during month Equivalent units of work in process, end of month Total equivalent production Unit cost for month: Materials Labor Factory overhead Total Inventory costs: Cost of goods finished and transferred to stockroom during month: Cost in Cutting Dept. Cost in Assembly Dept. Total Cost of work in process, end of month: Cost in Cutting Dept. Cost in Assembly Dept.: Materials Labor Factory overhead Total production costs accounted for IT