The Cutting Department of Karachi Carpet Company provides the following data for January. Assume that all materials are added at the beginning of the process.

Work in process, January $1,8,000$ units, $70\%$ completed $$94,320*$

$*$Direct materials $(8,000\backslash$times $$7\mathrm{.}8)$ $$62,400$

Conversion $(8,000\backslash$times $70\%\backslash$times $$5\mathrm{.}7)31,920$

$$94,320$

Materials added during January from Weaving Department, $123,200$ units $$973,280$

Direct labor for January $317,480$

Factory overhead for January $388,032$

Goods finished during January $($includes goods in process, January $1),124,600$ units $$

Work in process, January $31,6,600$ units, $40\%$ completed $$

Question Content Area

a$.$ Prepare a cost of production report for the Cutting Department. If an amount is zero or a blank, enter in $"0".$ For the cost per equivalent unit computations, round your answers to two decimal places.

Karachi Carpet Company

Cost of Production Report$-$Cutting Department

For the Month Ended January $31$

Unit Information

Units charged to production:Number of Units

Inventory in process, January $1$ fill in the blank $58$e$5$ed$06$ffb$4060\_1$

$8,000$

Received from Weaving Department fill in the blank $58$e$5$ed$06$ffb$4060\_2$

$123,200$

Total units accounted for by the Cutting Department fill in the blank $58$e$5$ed$06$ffb$4060\_3$

$131,200$

Units to be assigned costs: Equivalent Units

Whole Units Direct Materials Conversion

Inventory in process, January $1$ fill in the blank $58$e$5$ed$06$ffb$4060\_4$

$8,000$

fill in the blank $58$e$5$ed$06$ffb$4060\_5$

$0$

fill in the blank $58$e$5$ed$06$ffb$4060\_6$

$2,400$

Started and completed in January fill in the blank $58$e$5$ed$06$ffb$4060\_7$

$116,600$

fill in the blank $58$e$5$ed$06$ffb$4060\_8$

$116,600$

fill in the blank $58$e$5$ed$06$ffb$4060\_9$

$116,600$

Transferred to finished goods in January fill in the blank $58$e$5$ed$06$ffb$4060\_10$

$124,600$

fill in the blank $58$e$5$ed$06$ffb$4060\_11$

$116,600$

fill in the blank $58$e$5$ed$06$ffb$4060\_12$

$119,000$

Inventory in process, January $31$ fill in the blank $58$e$5$ed$06$ffb$4060\_13$

$6,600$

fill in the blank $58$e$5$ed$06$ffb$4060\_14$

$6,600$

fill in the blank $58$e$5$ed$06$ffb$4060\_15$

$2,640$

Total units to be assigned costs fill in the blank $58$e$5$ed$06$ffb$4060\_16$

$131,200$

fill in the blank $58$e$5$ed$06$ffb$4060\_17$

$123,200$

fill in the blank $58$e$5$ed$06$ffb$4060\_18$

$121,640$

Cost Information

Costs per equivalent unit: Direct Materials Conversion

Total costs for January in Cutting Department $fill in the blank $58$e$5$ed$06$ffb$4060\_19$

$973,280$

$fill in the blank $58$e$5$ed$06$ffb$4060\_20$

Total equivalent units fill in the blank $58$e$5$ed$06$ffb$4060\_21$

$123,200$

fill in the blank $58$e$5$ed$06$ffb$4060\_22$

$121,640$

Cost per equivalent unit $fill in the blank $58$e$5$ed$06$ffb$4060\_23$

$7\mathrm{.}9$

$fill in the blank $58$e$5$ed$06$ffb$4060\_24$

Costs assigned to production:

Direct Materials Conversion Total

Inventory in process, January $1$ $fill in the blank $58$e$5$ed$06$ffb$4060\_25$

$94,320$

Costs incurred in January fill in the blank $58$e$5$ed$06$ffb$4060\_26$

Total costs accounted for by the Cutting Department $fill in the blank $58$e$5$ed$06$ffb$4060\_27$

Cost allocated to completed and partially completed units:

Inventory in process, January $1$ balance $fill in the blank $58$e$5$ed$06$ffb$4060\_28$

To complete inventory in process, January $1$ $fill in the blank $58$e$5$ed$06$ffb$4060\_29$

fill in the blank $58$e$5$ed$06$ffb$4060\_30$

Cost of completed January $1$ work in process $fill in the blank $58$e$5$ed$06$ffb$4060\_31$

Started and completed in January $fill in the blank $58$e$5$ed$06$ffb$4060\_32$

fill in the blank $58$e$5$ed$06$ffb$4060\_33$

fill in the blank $58$e$5$ed$06$ffb$4060\_34$

Transferred to finished goods in January $fill in the blank $58$e$5$ed$06$ffb$4060\_35$

Inventory in process, January $31$ fill in the blank $58$e$5$ed$06$ffb$4060\_36$

fill in the blank $58$e$5$ed$06$ffb$4060\_37$

fill in the blank $58$e$5$ed$06$ffb$4060\_38$

Total costs assigned by the Cutting Department $fill in the blank $58$e$5$ed$06$ffb$4060\_39$b$.$ Compute and evaluate the change in the costs per equivalent unit for direct materials and conversion from the previous month $($December$).$ If required, round your answers to two decimal places.

Increase or Decrease Amount

Change in direct materials cost per equivalent unit

Increase

$fill in the blank $365133$fc$9$f$8$afac$\_2$

Change in conversion cost per equivalent unit

Increase

$fill in the blank $365133$fc$9$f$8$afac$\_4$

$0\mathrm{.}1$