1. Equivalent Units and Related Costs; Cost of Production Report; Entries
2. Dover Chemical Company manufactures specialty chemicals by a series of three processes, all materials being introduced in the Distilling Department. From the Distilling Department, the materials pass through the Reaction and Filling departments, emerging as finished chemicals.
3. The balance in the account Work in ProcessFilling was as follows on January 1:
4. Work in ProcessFilling Department (1,900 units, 40% completed): Direct materials (1,900 x $11.5) $21,850 Conversion (1,900 x 40% x $7.5) 5,700 $27,550 The following costs were charged to Work in ProcessFilling during January:
5. Direct materials transferred from Reaction Department: 24,500 units at $11.3 a unit $276,850 Direct labor 95,740 Factory overhead 91,986 During January, 24,300 units of specialty chemicals were completed. Work in ProcessFilling Department on January 31 was 2,100 units, 40% completed.
6. Required:
7. 1.Prepare cost of production report for the Filling Department for January. If an amount is zero, enter "0". If required, round your cost per equivalent unit answers to two decimal places.
8. Dover Chemical CompanyCost of Production Report-Filling DepartmentFor the Month Ended January 31 Unit Information Units charged to production: Inventory in process, January 1fill in the blank afba07017057051_1
9. Received from Reaction Departmentfill in the blank afba07017057051_2
10. Total units accounted for by the Filling Departmentfill in the blank afba07017057051_3
11. Units to be assigned costs:
13. Equivalent Units
14. Whole UnitsDirect MaterialsConversionInventory in process, January 1fill in the blank afba07017057051_4
15. fill in the blank afba07017057051_5
16. fill in the blank afba07017057051_6
17. Started and completed in Januaryfill in the blank afba07017057051_7
18. fill in the blank afba07017057051_8
19. fill in the blank afba07017057051_9
20. Transferred to finished goods in Januaryfill in the blank afba07017057051_10
21. fill in the blank afba07017057051_11
22. fill in the blank afba07017057051_12
23. Inventory in process, January 31fill in the blank afba07017057051_13
24. fill in the blank afba07017057051_14
25. fill in the blank afba07017057051_15
26. Total units to be assigned costsfill in the blank afba07017057051_16
27. fill in the blank afba07017057051_17
28. fill in the blank afba07017057051_18
29. Cost Information Cost per equivalent unit:
30. Direct MaterialsConversionTotal costs for January in Filling Department$
31. fill in the blank afba07017057051_19
32. $
33. fill in the blank afba07017057051_20
34. Total equivalent unitsfill in the blank afba07017057051_21
35. fill in the blank afba07017057051_22
36. Cost per equivalent unit$
37. fill in the blank afba07017057051_23
38. $
39. fill in the blank afba07017057051_24
40. Costs assigned to production:
41. Direct MaterialsConversionTotalInventory in process, January 1
43. $
44. fill in the blank afba07017057051_25
45. Costs incurred in January
47. fill in the blank afba07017057051_26
48. Total costs accounted for by the Filling Department
50. $
51. fill in the blank afba07017057051_27
52. Costs allocated to completed and partially completed units:
55. Inventory in process, January 1 balance
57. $
58. fill in the blank afba07017057051_28
59. To complete inventory in process, January 1
60. $
61. fill in the blank afba07017057051_29
62. fill in the blank afba07017057051_30
63. Cost of completed January 1 work in process
65. $
66. fill in the blank afba07017057051_31
67. Started and completed in January$
68. fill in the blank afba07017057051_32
69. fill in the blank afba07017057051_33
70. fill in the blank afba07017057051_34
71. Transferred to finished goods in January
73. $
74. fill in the blank afba07017057051_35
75. Inventory in process, January 31fill in the blank afba07017057051_36
76. fill in the blank afba07017057051_37
77. fill in the blank afba07017057051_38
78. Total costs assigned by the Filling Department
80. $
81. fill in the blank afba07017057051_39
82. 2.Journalize the entries for (1) costs transferred from Reaction to Filling and (2) the cost transferred from Filling to Finished Goods. If an amount box does not require an entry, leave it blank.
83. (1)fill in the blank dba27902a06303e_2
84. fill in the blank dba27902a06303e_3
86. fill in the blank dba27902a06303e_5
87. fill in the blank dba27902a06303e_6
88. (2)fill in the blank dba27902a06303e_8
89. fill in the blank dba27902a06303e_9
91. fill in the blank dba27902a06303e_11
92. fill in the blank dba27902a06303e_12
93. 3.Determine the increase or decrease in the cost per equivalent unit from December to January for direct materials and conversion costs. If required, round your answers to two decimal places.
94. Increase or Decrease Amount Change in direct materials cost per equivalent unit $fill in the blank ee2eed0a1fe7062_2
95. Change in conversion cost per equivalent unit $fill in the blank ee2eed0a1fe7062_4
96. 4.Discuss the uses of the cost of production report and the results of part (3).
97. The cost of production report may be used as the basis for allocating product costs between and . The report can also be used to control costs by holding each department head responsible for the units entering production and the costs incurred in the department. Any differences in unit product costs from one month to another, such as those in part (3), can be studied carefully and any significant differences investigated.