B. Straight Problem - Process Costing - With Beginning Inventory

The following information were gathered from the books of Broadway Company for the month of June 2015:

Department ADepartment B

Units:

In process, beg.30,00020,000

Stage of completion20%

Finished and transferred 70,00050,000

Finished and on hand20,00010,000

In process, end10,000?

Stage of completion50%40%

Costs:

In process, beg. P 45,000P 24,000

Cost this month:

Materials120,000130,000

Labor30,00029,000

Overhead28,00030,000

Requirement: Cost of Production Reports for two departments using FIFO and average method, under the following assumptions:

1.Materials are added at the start of the process

2.Materials are added at the end of the process