Grainy Goodness Company manufactures granola cereal by a series of three processes, beginning materials such as oats, sweeteners, and nuts being introduced in the Mixing Department. From the Mixing Department, the materials pass through the Baking and Packaging departments, emerging as boxed granola cereal ready for shipment to retail outlets. Direct materials are added at the beginning of each process, and conversion costs are incurred evenly throughout production in each department.

During March, the President and sole stockholder, Jonathan Groat, reviewed the Cost of Production Report for the Mixing Department. He is concerned that the Mixing Department may not be operating efficiently, and asks for your help.

Cost of Production

Jonathan has noticed that his production manager has omitted some of the data on the Cost of Production. Determine the missing information. If there is no amount or an amount is zero, enter "0". Round your per-unit computations to the nearest cent, if required.

Grainy Goodness Company
Cost of Production Report-Mixing Department
For the Month Ended March 31
Unit Information
Units charged to production:
Inventory in process, March 1			2,000
Received from materials storeroom			38,000
Total units accounted for by the Mixing Department			40,000
Units to be assigned costs:
		Equivalent Units
	Whole Units	Direct Materials	Conversion
Inventory in process, March 1 (35% completed)	2,000	fill in the blank 733af00b807d05c_1	fill in the blank 733af00b807d05c_2
Started and completed in March	35,000	35,000	35,000
Transferred to Baking Department in March	37,000	fill in the blank 733af00b807d05c_3	fill in the blank 733af00b807d05c_4
Inventory in process, March 31 (90% completed)	3,000	fill in the blank 733af00b807d05c_5	fill in the blank 733af00b807d05c_6
Total units to be assigned costs	40,000	fill in the blank 733af00b807d05c_7	fill in the blank 733af00b807d05c_8
Cost Information
Cost per equivalent unit:
		Direct Materials	Conversion
Total costs for March in Mixing Department		$40,660	$37,050
Total equivalent units		fill in the blank 733af00b807d05c_9	fill in the blank 733af00b807d05c_10
Cost per equivalent unit		$fill in the blank 733af00b807d05c_11	$fill in the blank 733af00b807d05c_12
Costs assigned to production:
	Direct Materials	Conversion	Total
Inventory in process, March 1	$2,200	$525	$2,725
Costs incurred in March			77,710
Total costs accounted for by the Mixing Department			$80,435
Cost allocated to completed and partially completed units:
Inventory in process, March 1-balance			$2,725
To complete inventory in process, March 1	fill in the blank 733af00b807d05c_13	1,235	1,235
Cost of completed March 1 work in process			$3,960
Started and completed in March	37,450	33,250	70,700
Transferred to Baking Department in March			$fill in the blank 733af00b807d05c_14
Inventory in process, March 31	3,210	2,565	fill in the blank 733af00b807d05c_15
Total costs assigned by the Mixing Department			$fill in the blank 733af00b807d05c_16

February Cost Analysis

Determine the cost per unit of direct materials and for conversion for the month of February using the completed data on the Cost of Production. Round your per-unit computations to the nearest cent, if required.

Cost Analysis for February - Mixing Department
	Amount	Equivalent Units	Cost per Unit
Direct Materials in inventory in process, March 1	$fill in the blank 8a5465fdb04a050_1	fill in the blank 8a5465fdb04a050_2	$fill in the blank 8a5465fdb04a050_3
Conversion costs in inventory in process, March 1	fill in the blank 8a5465fdb04a050_4	fill in the blank 8a5465fdb04a050_5	fill in the blank 8a5465fdb04a050_6
		Total cost per unit	$fill in the blank 8a5465fdb04a050_7

March Cost Analysis

Determine the cost per unit of direct materials and for conversion for the month of March using the completed data on the Cost of Production. Round your per-unit computations to the nearest cent, if required.

Cost Analysis for March- Mixing Department
	Amount	Equivalent Units	Cost per Unit
Costs for March: Direct Materials	$fill in the blank 6f5c5e00606a04e_1	fill in the blank 6f5c5e00606a04e_2	$fill in the blank 6f5c5e00606a04e_3
Costs for March: Conversion	fill in the blank 6f5c5e00606a04e_4	fill in the blank 6f5c5e00606a04e_5	fill in the blank 6f5c5e00606a04e_6
		Total cost per unit	$fill in the blank 6f5c5e00606a04e_7

Mixing Dept. Evaluation

After reviewing your work on the February Cost Analysis and March Cost Analysis, assist Jonathan Groat in evaluating the Mixing Departments performance by answering the following questions:

In March, was the Mixing Departments total cost per unit higher or lower than in February?

For which component was the cost per unit for March higher than in February?

What is most probably your recommendation to Jonathan Groat given your computations?

Journal

On March 31, using the data provided on the Cost of Production, journalize the entry to move the appropriate amount of cost from the Mixing Department to the Baking Department. If an amount box does not require an entry, leave it blank.

Mar. 31		fill in the blank 11c53008a02e04f_2	fill in the blank 11c53008a02e04f_3
		fill in the blank 11c53008a02e04f_5	fill in the blank 11c53008a02e04f_6