Required: Prepare a physical flow schedule. 3Brief Exercise 6-26 Production Report, Weighted Average 6.6 Inc. manufactures bicycle frames in two departments: cutting and welding. Manzer uses Manzer the weighted average method. Manufacturing costs are added uniformly throughout the pro- cess. The following are cost and prodution data for the cutting department for October: Production: Units in process, October 1, 40% complete Units completed and transferred out Units in process, October 31, 60% complete Costs: 4,000 27,200 8,000 WIP, October 1 Costs added during October 32,000 608,000 Required: Prepare a production report for the cutting department. 20 Transferred-in goods are treated by the receiving department as a. units started for the period. b. a material added at the beginning of the process. C. a category of materials separate from conversion costs. d. All of these e. None of these. BRIEF EXERCISES: SET A Brief Exercise 6-21 Basic Cost Flows Gardner Company produces 18-ounce boxes of a wheat cereal in three departments: mixing, Example 6. OBJECTIV cooking, and packaging. During August, Gardner produced 250,000 boxes with the following costs: Mixing Department DepartmentDepartment CookingPackaging Direct materials Direct labor Applied overhead $825,000 120,000 225,000 $379,500 75,000 82,500 $330,000 180,000 332,500 Required: 1. Calculate the costs transferred out of each department 2. Prepare journal entries that reflect these cost transfers