COST ACCOUNTING CASE 2 COST OF PRODUCTION SUMMARY: WEIGHTED AVERAGE AND FIFO METHODS The Company uses a single department production process. Materials, labor, and overhead are added throughout the production process as indicated. For January 2021, the Company records have the following information: UNITS: Beginning WIP: 6,000 units 80% complete for materials, 60% complete for labor; 65% complete for overhead Units started in process 95,000 units Units completed 98,000 units Ending WIP: 3,000 units 90% complete for materials, 80% complete for labor; 85% complete for overhead PRODUCTION COSTS: Work in Process, Beginning of the Month: Materials $ 105,000 Labor 180,000 Overhead 200,000 485,000 Current Month Costs: Materials $ 2,110,400 Labor 1,526,800 Overhead 2,313,750 5,950,950 Total Costs: $ 6,435,950 REQUIRED: 1. Prepare a Cost of Production Summary using the weighted average method (calculations for equivalent units of production, cost per equivalent unit of production, total cost for units completed and WIP, ending). Prepare your calculations for Materials, Labor, and Overhead separately. Round your answers to the nearest cent (two decimal places, for example: present 1.11236789, as 1.11). Prepare the appropriate journal entries at month end to account for: Resources used in production, Completed and transferred out units. Present the Work-In-Process account displaying accurate beginning and ending balances, and changes posted from the journal entries (T-account). 2. Prepare a Cost of Production Summary using the FIFO method (calculations for equivalent units of production, cost per equivalent unit of production, total cost for WIP, beginning, units started and completed and WIP, ending). Prepare your calculations for Materials, Labor, and Overhead separately. Round your answers to the nearest cent (two decimal places, for example: present 1.11236789, as 1.11). Prepare the appropriate journal entries at month end to account for: Resources used in production, Completed and transferred out units. Present the Work-In-Process account displaying accurate beginning and ending balances, and changes posted from the journal entries (T-account). You need to present your work in an excel spreadsheet and you need to create your own formatting (templates). It is recommended to use Chapter 6 schedules for your calculations and journal entries.