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60% for spoiled In Metal Jaya cutting department, units are inspected at the SA) % stage of completion in Cutting. Materials are added before inspection.
60% for spoiled
In Metal Jaya cutting department, units are inspected at the SA) % stage of completion in Cutting. Materials are added before inspection. Units of product spoiled in Cutting have no salvage value. Good units are transferred to the next department, and spoiled units are scrapped. The unrecoverable cost of spoilage in cutting department is viewed by management as an internal failure cost and charged to Factory Overhead Control. Data for April's cutting department are: Units in beginning inventory (SB) Units started in process in Cutting Department the period [SC] Units transferred from Cutting Department to the next department [SD] Units in ending inventory (SE)% materials, (SF)% labor and [SG]% overhead) [SH] Costin beginning inventory: Materials [SI] Labor [SI] Factory overhead [SK] Cost added during the current period: Materials Labor Factory overhead (SL) ISM ISNI Question: Assuming the company uses a process cost system with average costing, prepare a cost of production report (with spoilage)for cutting department for April SA SB SC SD SE SF SG SH I 60 5,000 22,000 20,000 96 60 55 5,000 1,300 1,092 1,568 53,732 10,760 24,054 SI Si SK SL SM SN In Metal Jaya cutting department, units are inspected at the SA) % stage of completion in Cutting. Materials are added before inspection. Units of product spoiled in Cutting have no salvage value. Good units are transferred to the next department, and spoiled units are scrapped. The unrecoverable cost of spoilage in cutting department is viewed by management as an internal failure cost and charged to Factory Overhead Control. Data for April's cutting department are: Units in beginning inventory (SB) Units started in process in Cutting Department the period [SC] Units transferred from Cutting Department to the next department [SD] Units in ending inventory (SE)% materials, (SF)% labor and [SG]% overhead) [SH] Costin beginning inventory: Materials [SI] Labor [SI] Factory overhead [SK] Cost added during the current period: Materials Labor Factory overhead (SL) ISM ISNI Question: Assuming the company uses a process cost system with average costing, prepare a cost of production report (with spoilage)for cutting department for April SA SB SC SD SE SF SG SH I 60 5,000 22,000 20,000 96 60 55 5,000 1,300 1,092 1,568 53,732 10,760 24,054 SI Si SK SL SM SNStep by Step Solution
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