Question
The Welding Department of Majestic Company has the following production and manufacturing cost data for February 2017. All materials are added at the beginning of
The Welding Department of Majestic Company has the following production and manufacturing cost data for February 2017. All materials are added at the beginning of the process. Majestic uses the FIFO method to compute equivalent units.
Manufacturing Costs | Production Data | ||||||
Beginning work in process | $32,175 | Beginning work in process | 15,000 | units, 10% complete | |||
Costs transferred in | 135,000 | Units transferred out | 54,000 | ||||
Materials | 57,000 | Units transferred in | 64,000 | ||||
Labor | 35,100 | Ending work in process | 25,000 | , 20% complete | |||
Overhead | 68,400 |
Prepare a production cost report for the Welding Department for the month of February. Transferred-in costs are considered materials costs. (Round unit costs to 2 decimal places, e.g. 2.25.)
MAJESTIC MANUFACTURING COMPANY Welding Department Production Cost Report For the Month Ended February 28 , 2017 | ||||||||
Equivalent Units | ||||||||
Quantities | Physical Units | Materials | Conversion Costs | |||||
Units to be accounted for | ||||||||
Work in process, February 1 | ||||||||
Started into production | ||||||||
Total units | ||||||||
Units accounted for | ||||||||
Completed and transferred out | ||||||||
Work in process, February 1 | ||||||||
Started and completed | ||||||||
Total | ||||||||
Work in process, February 28 | ||||||||
Total units | ||||||||
Costs | Materials | Conversion Costs | Total | |||||
Unit costs | ||||||||
Costs in February | $ | $ | $ | |||||
Equivalent units | ||||||||
Unit costs | $ | $ | $ | |||||
Costs to be accounted for | ||||||||
Work in process, February 1 | $ | |||||||
Started into production | ||||||||
Total costs | $ | |||||||
Cost Reconciliation Schedule | ||||||||
Costs accounted for | ||||||||
Transferred out | ||||||||
Work in process, February 1 | $ | |||||||
Costs to complete beginning work in process | ||||||||
Conversion costs | ||||||||
Total costs | $ | |||||||
Units started and completed | ||||||||
Total costs transferred out | $ | |||||||
Work in process, February 28 | ||||||||
Materials | ||||||||
Conversion costs | ||||||||
Total costs | $ |
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