dame dash Ltd. produces ski socks that go through three departments; forming, cutting and assembly. One unit is equal to one pair of socks. Cost and production data for the forming department, are as follows for june 2020: Units in process june 1: 10,000 units 30% complete Units in process iune 30: 6,000 units 65% complete Units started into production: 96,000 Units completed and transferred out: 91,000 Cost of june 1 work-in-process: Material X: $25,000 Conversion costs: $20,000 Transferred in costs: to be determined Two types of materials are used. thread and labels. Thread is added at the beginning of the process and labels are added at the end of the process in the assembly department. Normal spoilage, in the assembly department, is 15% of the good units completed and transferred to finished goods. Assume that there are 3,000 units of socks in finished goods inventory at inne i that.cost $22/pair using FIFO and $21/pair using weighted average. There were 75,000 units of socks sold in june for $50 per unit. REQUIRED: 1. Create a total of six production reports 2. Prepare the journal entries to record all of the activity in each of the three departments using both FIFO and weighted average, including the entries to record the impact of june sales. I Costs added to production in june; Material X: $288,000 Material Y: $500,000 Conversion costs: 5201,800 Material X is added at the beginning of work in the forming department. Material Y is also added in the forming department, but it is not added until units of product are 70% complete. Conversion costs are added on a uniform basis in all departments. Normal spoilage in the forming department, is 5% of the good units completed and transferred to the cutting department. Cost and production data for the cutting department, are as follows for june 2020: Units in process june 1: 2,000 units 70% complete Units in process june 30: to be determined units 30% complete Units transferred in: to be determined Units completed and transferred out: 90,000 Cost of iune 1 work-in-process: Conversion costs: $8,000 Transferred in costs $19,000 Costs added to production in iune Conversion costs: $360,000 Transferred in costs: to be determined Units from the cutting department are transferred to the assembly department Assembly department costs for june 2020 are as follows: Units in process june 1: 8,000 units 60% complete Units in process june 30: 2,000 units 20% complete Units transferred in: to be determined Units completed and transferred out: 80,000 Cost of jyge 1 work-in-process: Thread: $4,000 Conversion costs: $16,000 Transferred-in: $112,000 Costs added to production in jupe Labels: $108,000 Thread:$42,000 Conversion costs: $139,528 dame dash Ltd. produces ski socks that go through three departments; forming, cutting and assembly. One unit is equal to one pair of socks. Cost and production data for the forming department, are as follows for june 2020: Units in process june 1: 10,000 units 30% complete Units in process iune 30: 6,000 units 65% complete Units started into production: 96,000 Units completed and transferred out: 91,000 Cost of june 1 work-in-process: Material X: $25,000 Conversion costs: $20,000 Transferred in costs: to be determined Two types of materials are used. thread and labels. Thread is added at the beginning of the process and labels are added at the end of the process in the assembly department. Normal spoilage, in the assembly department, is 15% of the good units completed and transferred to finished goods. Assume that there are 3,000 units of socks in finished goods inventory at inne i that.cost $22/pair using FIFO and $21/pair using weighted average. There were 75,000 units of socks sold in june for $50 per unit. REQUIRED: 1. Create a total of six production reports 2. Prepare the journal entries to record all of the activity in each of the three departments using both FIFO and weighted average, including the entries to record the impact of june sales. I Costs added to production in june; Material X: $288,000 Material Y: $500,000 Conversion costs: 5201,800 Material X is added at the beginning of work in the forming department. Material Y is also added in the forming department, but it is not added until units of product are 70% complete. Conversion costs are added on a uniform basis in all departments. Normal spoilage in the forming department, is 5% of the good units completed and transferred to the cutting department. Cost and production data for the cutting department, are as follows for june 2020: Units in process june 1: 2,000 units 70% complete Units in process june 30: to be determined units 30% complete Units transferred in: to be determined Units completed and transferred out: 90,000 Cost of iune 1 work-in-process: Conversion costs: $8,000 Transferred in costs $19,000 Costs added to production in iune Conversion costs: $360,000 Transferred in costs: to be determined Units from the cutting department are transferred to the assembly department Assembly department costs for june 2020 are as follows: Units in process june 1: 8,000 units 60% complete Units in process june 30: 2,000 units 20% complete Units transferred in: to be determined Units completed and transferred out: 80,000 Cost of jyge 1 work-in-process: Thread: $4,000 Conversion costs: $16,000 Transferred-in: $112,000 Costs added to production in jupe Labels: $108,000 Thread:$42,000 Conversion costs: $139,528
