EX 17-16 Cost of production report Obj. 2,4 The debits to Work in Process --Roasting Department for Morning Brew Coffee Company for August, together with information concerning production, are as follows: $ 3479* Work in process, August 1, 700 pounds, 20% completed *Direct materials (700 x $4.70) Conversion (700 x 20% x $1.35) $3,290 189 $3,479 Coffee beans added during August, 14,300 pounds Conversion costs during August Work in process, August 31,400 pounds, 42% completed Goods finished during August 14,600 pounds 65,780 21,942 ? ? (Continued) Chapter 17 Process Cost Systems All direct materials are placed in process at the beginning of production. A. Prepare a cost of production report, presenting the following computations: 1. Direct materials and conversion equivalent units of production for August 2. Direct materials and conversion costs per equivalent unit for August 3. Cost of goods finished during August 4. Cost of work in process at August 31 B. Compute and evaluate the change in cost per equivalent unit for direct materials and con- version from the previous month (July). Morning Brew Coffee Company Cost of Production Report - Roasting Department For the Month Ended August 31 NITS (1) Equivalent Units Direct Materials Conversion Whole Units nits charged to production: Inventory in process, August 1 Received from materials storeroom Total units accounted for by the Roasting Department complete) its to be assigned costs: Inventory in process, August 1 Started and completed in August Transferred to finished goods in August Inventory in process, August 31 ( Total units to be assigned costs STS complete) Costs Conversion Direct Materials Total its per equivalent unit: Total costs for Augustin Roasting Department Total equivalent units Cost per equivalent unit (2) ts assigned to production: Inventory in process, August 1 Costs incurred in August Total costs accounted for by the Roasting Department s allocated to completed and partially completed units: Inventory in process, August 1 To complete inventory in process, August 1 Cost of completed August 1 work in process Started and completed in August Transferred to finished goods in August (3) Inventory in process, August 1 To complete inventory in process, August 1 Cost of completed August 1 work in process Started and completed in August Transferred to finished goods in August (3) Inventory in process, August 31 (4) Total costs assigned by the Roasting Department MI III B. Direct Materials Conversion Cost per equivalent unit: From current period From beginning inventory Increase (decrease) Evaluation comments: [Key essay answer here)
