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Equivalent units and related costs; cost of production report; entries Instructions White Diamond Flour Company manufactures four by a series of three processes, beginning with

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Equivalent units and related costs; cost of production report; entries Instructions White Diamond Flour Company manufactures four by a series of three processes, beginning with wheat grain boing introduced in the Milling Department. From the Moling Department, the materials pass through the Sifting and Packaging departmonts, omerging as packaged relined flour. The balance in the acoount Work in Process-Sitting Department was as follows on July 1: The following costs were charged to Work in Process.s stling Department during July: Equivalent units and related costs; cost of production report; entries Instructions During July, 15,500 units of flour were completed. Work in Process-sitting Department on July 31 was 1,100 units, 4/5 completed. Required: 1. Prepare a cost of production report for the Sifing Department for Jly. N an amount is zero, entor "0: . Found your cost per untt answers to the nearest cent. 2. Journalize the entries for costs transferred from Miling to Suthing and the costs translerred from siling lo Packiging. Aelec to the Chart of Accounts for correct wording of account tules. Use the date July 31 for all foumar enties. your answers to the nearest cent. 4. Discuss the uses of the cost of production report and the results of part (3). Equivalent units and related costs; cost of production report; entries Cost of Production Report 1. Prepare a cost of production report for the Sifting Department for July. If an amount is zero, enter " 0 ". Round your cost per unit answers to the nearest cent. Equivalent units and related costs; cost of production report; entries \begin{tabular}{|l|l|l|} \hline Instructions & Chart of Accounts & Cost of Production Report Journal \\ \hline \end{tabular} Cost of Production Report Cost per equivalent unit Costs assigned to production: Inventory in process, July 1 Costs incurred in July Total costs accounted for by the Sifting Department Costs allocated to completed and partially completed units: Inventory in process, July 1-balance To complete inventory in process, July 1 Cost of completed July 1 work in process Started and completed in July Transferred to Packaging Dopartment in July Inventory in process, July 31 Total costs assigned by the Sifing Department Check My Work Previous Equivalent units and related costs; cost of production report; entries Journal 2. Joumalize the entries for costs transferred from Miling to Sifting and the costs transferred from Sifting to Packaging. Refer to the Chart of Accounts for correct wording of account fitles. Use the date July 31 for all joumal entries. Equivalent units and related costs; cost of production report; entries Final Questions 3. Determine the increase or decrease in the cost per equivalent unit from June fo July for direct materials and conversion costs. Aound your answers to the nearest cent. Direct materials: Conversion: 4. 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 uniz product costs from one month to another, such as those in part (3). can be studied carefuly and any significant differences investigated

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