Hello,

Please assist in helping me with the following questions below. I have attached the spreadsheet.

Instructions

1. Show how Joe arrived at the unit cost of $14.26 per gallon of NoTan.
2. What error(s) did Joe make in preparing his production cost report?
3. Prepare a correct production cost report for July.

Florida Beach Company manufactures sunscreen, called No Tan, in 11-ounce plastic bottles. No Tan is sold in a competitive market. As a result , management is very cost conscious. No Tan is manufactured through two, processes; mixing and filling. Materials are entered at the beginning of each processes, and labor and manufacturing overhead occur uniformly through out each process. Unit costs are based on the cost per gallon of NoTan using the weighted -average costing approach. On Jun 30, 2017, Mary Ritzman , the chief account for the past 20 years opted to take early retirement. Her replacement, Joe Benili, had extensive accounting experience with motels in the area but only limited contact with manufacturing accounting. During July, Joe correct accumulated the following production quantity and cost data for the Mixing Department. Production quantities: Work in process, July 1, 8,000 gallons 75% complete; started into production 100,000 gallons; work in process July 31, 5000 gallons 20% complete. Materials are added at the beginning of the process. Production costs; Beginning work in process 88,000, compromised of 21,000 of materials costs and 67,000 of conversions costs; incurred in July: materials 575,000, conversion costs 765,000. . Joe, then prepared a product cost report on the basis of physical units started into production. His report showed a production cost of $14.26 per gallon of NoTan. The management of Florida Beach was surprised at the high unit cost. The president comes to you, as Mary's top assistant, to review Joe's report and prepare a correct report if necessary. Instructions a) Show how Joe arrived at the unit cost of $14.26 per gallon of NoTan. b) What error(s) did Joe make in preparing his production cost report? c) Prepare a correct production cost report for July