Question
erminal Industries (TI) produces a product using three departments: Mixing, Processing, and Filtering. New material is added only in the Mixing Department. The following information
erminal Industries (TI) produces a product using three departments: Mixing, Processing, and Filtering. New material is added only in the Mixing Department. The following information is given for the Processing Department for August. TI uses process costing.
| WIP Inventory Processing Department: August 1 | ||
|---|---|---|
| Quantity (60% complete) | 28,000 | units |
| Transferred-in costs (from Mixing Department) | $ 35,830 | |
| Conversion costs (Processing Department) | 14,312 | |
| Total WIP cost: August 1 | $ 50,142 | |
| Current production and costs (August) | ||
| Units started | 75,000 | units |
| Current costs | ||
| Transferred-in costs (from Mixing Department) | $ 88,830 | |
| Conversion costs (Processing Department) | 60,060 | |
| Total current cost: August | $ 148,890 | |
| WIP Inventory Processing Department (August 31) | ||
| Quantity (20% complete) | 13,000 | units |
| Transferred-in costs (from Mixing Department) | ?? | |
| Conversion costs (Processing Department) | ?? | |
| Total WIP cost: August 31 | ?? |
Required:
Complete the production cost report for August using FIFO.
Note: Round "Cost per equivalent unit" to 2 decimal places.
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Accounting A Business Perspective
Authors: Roger H. Hermanson, James Don Edwards, Michael W. Maher
7th Edition
0075615851, 978-0075615859
