Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Remington Manufacturing Company uses process costing for their production departments. In the Molding Department, direct materials are added at the beginning of the process. Direct

Remington Manufacturing Company uses process costing for their production departments. In the Molding Department, direct materials are added at the beginning of the process. Direct labor and factory overhead are added evenly throughout the process. The company uses monthly reporting periods for its FIFO process cost accounting. The following is the Molding Department cost data for June: The June 1 beginning work in process inventory consists of 20,000 units. Costs for this inventory are: $82,500 of direct materials, $24,400 of direct labor, and $48,800 of factory overhead. Beginning work in process inventory is 100% complete with respect to direct materials and 75% complete with respect to direct labor and factory overhead. In addition to the beginning inventory costs, the company issued the following costs into work in process inventory: direct materials, $240,000; direct labor, $68,000; factory overhead, $136,000. During June, the company completed and transferred 60,000 units of its products to finished goods. At the end of the month, the work in process inventory consists of 15,000 units were 40% complete with respect to direct labor and factory overhead and 100% complete with respect to direct materials. Required: Prepare the companys cost production report using the FIFO method for the month of June. Float decimals when calculating costs per equivalent units of production for the FIFO method.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Accounting

Authors: Frederick D. Choi, Gary K. Meek

6th edition

131588141, 978-0131588141

More Books

Students also viewed these Accounting questions