Cost of Production Report

The Cutting Department of Karachi Carpet Company provides the following data for January. Assume that all materials are added at the beginning of the process.

Work in process, January 1, 10,200 units, 60% completed		$106,692*
*Direct materials (10,200 $8.60)	$87,720
Conversion (10,200 60% $3.10)	18,972
	$106,692
Materials added during January from Weaving Department, 157,200 units		$1,367,640
Direct labor for January		223,776
Factory overhead for January		273,504
Goods finished during January (includes goods in process, January 1), 159,000 units
Work in process, January 31, 8,400 units, 30% completed

a. Prepare a cost of production report for the Cutting Department. If an amount is zero or a blank, enter in "0". For the cost per equivalent unit computations, round your answers to two decimal places.

Karachi Carpet Company
Cost of Production Report-Cutting Department
For the Month Ended January 31
Unit Information
Units charged to production:
Inventory in process, January 1			fill in the blank bc8390f62063073_1
Received from Weaving Department			fill in the blank bc8390f62063073_2
Total units accounted for by the Cutting Department			fill in the blank bc8390f62063073_3
Units to be assigned costs:
		Equivalent Units
	Whole Units	Direct Materials	Conversion
Inventory in process, January 1	fill in the blank bc8390f62063073_4	fill in the blank bc8390f62063073_5	fill in the blank bc8390f62063073_6
Started and completed in January	fill in the blank bc8390f62063073_7	fill in the blank bc8390f62063073_8	fill in the blank bc8390f62063073_9
Transferred to finished goods in January	fill in the blank bc8390f62063073_10	fill in the blank bc8390f62063073_11	fill in the blank bc8390f62063073_12
Inventory in process, January 31	fill in the blank bc8390f62063073_13	fill in the blank bc8390f62063073_14	fill in the blank bc8390f62063073_15
Total units to be assigned cost	fill in the blank bc8390f62063073_16	fill in the blank bc8390f62063073_17	fill in the blank bc8390f62063073_18
Cost Information
Cost per equivalent unit:
		Direct Materials	Conversion
Total costs for January in Cutting Department		$fill in the blank bc8390f62063073_19	$fill in the blank bc8390f62063073_20
Total equivalent units		fill in the blank bc8390f62063073_21	fill in the blank bc8390f62063073_22
Cost per equivalent unit		$fill in the blank bc8390f62063073_23	$fill in the blank bc8390f62063073_24
Costs assigned to production:
	Direct Materials	Conversion	Total
Inventory in process, January 1			$fill in the blank bc8390f62063073_25
Costs incurred in January			fill in the blank bc8390f62063073_26
Total costs accounted for by the Cutting Department			$fill in the blank bc8390f62063073_27
Costs allocated to completed and partially completed units:
Inventory in process, January 1 balance			$fill in the blank bc8390f62063073_28
To complete inventory in process, January 1	$fill in the blank bc8390f62063073_29	$fill in the blank bc8390f62063073_30	fill in the blank bc8390f62063073_31
Cost of completed January 1 work in process			$fill in the blank bc8390f62063073_32
Started and completed in January	fill in the blank bc8390f62063073_33	fill in the blank bc8390f62063073_34	fill in the blank bc8390f62063073_35
Transferred to finished goods in January			$fill in the blank bc8390f62063073_36
Inventory in process, January 31	fill in the blank bc8390f62063073_37	fill in the blank bc8390f62063073_38	fill in the blank bc8390f62063073_39
Total costs assigned by the Cutting Department			$fill in the blank bc8390f62063073_40

b. Compute and evaluate the change in the costs per equivalent unit for direct materials and conversion from the previous month (December). If required, round your answers to two decimal places.

	Increase or Decrease	Amount
Change in direct materials cost per equivalent unit		$fill in the blank d4c7c000afa602d_2
Change in conversion cost per equivalent unit		$fill in the blank d4c7c000afa602d_4