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The Kawilihan Manufacturing Inc. uses a process cost accounting system. The production data for the month of May show the following: Dept. 2 Dept. 3
The Kawilihan Manufacturing Inc. uses a process cost accounting system. The production data for the month of May show the following: Dept. 2 Dept. 3 Physical Units In process, May 1 8,000 4,000 Stage of completion 1/4 3/4 Received from preceding department 42,000 ? Finished and transferred to next dept. ? ? In process, May 31 5,000 1,000 I Stage of completion 75% 40% In Dept. 2, materials are applied as follows: 40% at the start of the process; 20% when the process reaches midpoint; and the balance at the end of the process. In Dept. 3, 25% of the materials is applied at the start of the process; 45% when the process reaches 3/4 completion; and the balance at the end. Both departments apply conversion costs uniformly throughout the process. Dept. 2 Dept. 3 Costs Data Amount Amount Cost, In Process, May 1 P4.000 P2.000 WANOVA Cost from preceding department 10,500 ? Cost incurred this month: Materials 13,440 9,090 Conversion I 18,700 6,810 Required: Prepare a cost of production report for Dept. 2 and 3 for the month of May using FIFO method. Show supporting computations for the missing items. Question 13 what is the unit cost of EP m in Dept 3? D Question 14 what is the unit cost of EP in Dept 3? Question 15 what is the total cost to be accounted for in Dept 3? Question 16 what is the WIP ending cost for Dept 3? (2 decimal places)
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