Selzik Company makes super-premium cake mixes that go through two processing departments, Blending and Packaging. The following activity was recorded in the Blending Department during July:

Production data:

Total

Units in process, July 1

(materials 100% complete; conversion 30% complete)

10,000

Units started into Production

170,000

Units complete and transferred to Packaging

?

Unitsin process, July 31

(materials 100% complete; conversion 40% complete)

20,000

Cost data:

Work in process inventory, July 1:

Materials cost

$ 8,500

Conversion cost

4,900

$13,400

Cost added during the month:

Materials cost

$139,400

Conversion cost

244,200

383,600

Total Cost

$397,000

All materials are added at the beginning of work in the Blending Department.

Required:

Prepare a production report in weighted average method and FIFO method for the Blending Department for July. Use the following 3 steps as a guide in preparing your report:

1.Prepare a quantity schedule and compute the equivalentsunits

2.Compute the costs per equivalent unit for the month

3.Using the data from (1) and (2) above, prepare a cost reconciliation