Sweet Corporation is in the dairy business. Products go through two production departments (A first, then B). Data from those departments for October 2020 are presented below.

Complete the four steps necessary to prepare a production cost report.

Department A Department B

Beginning work in process Beginning work in process

Number of units 1,000 200

% complete for materials 100%

% complete for transferred-in

100%

% complete for conversion 60% 30%

Total materials cost $24,000 -0-

Total conversion cost $30,000 $40,000

Total transferred-in costs

$15,000

Department A Department B

Ending work in process Ending work in process

Number of units 600 300

% complete for materials 100%

% complete for transferred-in

100%

% complete for conversion 30% 40%

Sweet Corporation started 2,600 units of product during the month in department A. Costs incurred in department A for October 2020 totalled $64,000 for material and $132,000 for conversion. Additionally, department B incurred conversion costs in October 2020 of $600,000. Department B adds no materials to the product. Instructions

a. Journalize the transfer of goods from department A to department B during October 2020. Sweet Corporation accounts for its costs using the weighted-average method.

$226,163

b. Prepare a production cost report for department B for October 2020.

Total cost of units completed: $833,123 (Weygandt, 12/2017, pp. 159-160) Weygandt, J. J., Kimmel, P. D., Kieso, D. E., Aly, I. M. (2017). Managerial Accounting: Tools for Business Decision-Making, Canadian Edition, 5th Edition. [[VitalSource Bookshelf version]]. Retrieved from vbk://9781119403999 Always check citation for accuracy before use.