Hearty Soup Co. uses a process cost system to record the costs of processing soup, which requires the cooking and filling processes. Materials are entered from the cooking process at the beginning of the filling process. The inventory of Work in Process-Filling on April 1 and debits to the account during April were as follows: Bal., 700 units, 30% completed: Direct materials (700 x $4.20) $2,940 Conversion (700 x 30% * $1.75) 368 $3,308 From Cooking Department, 7,600 units $32,680 Direct labor Factory overhead 8,552 5,902 During April, 700 units in process on April 1 were completed, and of the 7,600 units entering the department, all were completed except 600 units that were 90% completed. Charges to Work in Process-Filling for May were as follows: From Cooking Department, 9,100 units $40,950 Direct labor Factory overhead 12,026 5,710 During May, the units in process at the beginning of the month were completed, and of the 9,100 units entering the department, all were completed except 450 units that were 35% completed. Required: 1. (a) Enter the balance as of April 1, in a four-column account for Work in Process-Filling. Record the debits and the credits in the account for April. (b) Construct a cost of production report, and present computations for determining i. equivalent units of production for materials and conversion. ii. costs per equivalent unit.* iii. cost of goods finished, differentiating between units started in the prior period and units started and finished in April.* iv. work in process inventory.* If an amount is zero, enter "0". Round your cost per unit answers to the nearest cent and final answers to the nearest dollar amount. 2. (a) Provide the same information for May by recording the May transactions in the four-column work in process account. (b) Construct a cost of production report, and present the May computations (through iv) listed in part 1(b). 3. Comment on the change in costs per equivalent unit for March through May for direct materials and conversion costs. 1 Date 2 Apr. 1 Balance 3 30 Cooking Department 4 30 Direct labor 5 30 Factory overhead 6 30 Finished goods 7 30 Balance 8 May 31 Cooking Department 9 31 Direct labor 10 31 Factory overhead 11 12 31 31 Balance Finished goods Work in Process-Filling Score: 0/95 Item Debit Credit Balance Dr. Balance Cr. UNITS HEARTY SOUP CO. Cost of Production Report-Filling Department For the Month Ended May 31 Units charged to production: Inventory in process, May 1 Received from Cooking Department Total units accounted for by the Filling Department Units to be assigned costs: Inventory in process, May 1 (90% completed) Started and completed in May Transferred to finished goods in May Inventory in process, May 31 (35% completed) Total units to be assigned costs Equivalent Units Whole Units Direct Materials Conversion UNITS HEARTY SOUP CO. Cost of Production Report-Filling Department For the Month Ended May 31 Units charged to production: Inventory in process, May 1 Received from Cooking Department Total units accounted for by the Filling Department Units to be assigned costs: Inventory in process, May 1 (90% completed) Started and completed in May Transferred to finished goods in May Inventory in process, May 31 (35% completed) Total units to be assigned costs Equivalent Units Whole Units Direct Materials Conversion 3. The cost per equivalent unit for direct materials from March to May. These changes actions should be taken. from March to May. The cost per equivalent unit for conversion costs be investigated for their underlying causes, and any necessary corrective Points: 0/3