MANAGERIAL ACCT: Process Cost Systems

OBJ. 2,4 PR 20-2A Cost of production report 1. Conversion cost per Arabica Highland Coffee Company roasts and packs cof uivalent unit, s0.76 placing coffee beans into the Roasting Department. From the Roasting Department, fee beans. The process begins by coffee beans are then transferred to the Packing Department. The following is a partial work in process account of the Roasting Department at July 31: Excel ACCOUNT Work in Process-Roasting Department ACCOUNT NO. Balance Credit Date Item Debit CreditDebit 121,800 741,800 831,800 865,072 July : 1 Bal, 30,000 units, 10% completed 31 Direct materials, 155,000 units 31 Direct labor 31 Factory overhead 31 Goods transferred, 149,000 units 31 Bal.,2 units, 45% completed 620,000 90,000 33,272 Instructions 1. Prepare a cost of production report and identify the missing amounts for Work in Process-Roasting Department. 2. Assuming that the July 1 work in process inventory includes $119,400 of direct ma- terials, determine the increase or decrease in the cost per equivalent unit for direct materials and conversion between June and July