Oregon Paper Company produces newsprint paper through a special recycling process using scrap paper products Production and cost data for October 2012, the first month of operations for the company's new Portland plant, follow: Raw materials are added at the beginning of the process for each unit of product produced, and labor and manufacturing overhead are added evenly throughout the manufacturing process. Manufacturing overhead is applied to Work-in-Process at the rate of $24 per machine hour Units in process at the end of the period were 65 percent converted. Prepare a cost of production report for Oregon Paper Company for October