Cost of Production Report The debits to Work in ProcessRoasting Department for Morning Brew Coffee Company for August, together with information concerning production, are as follows: Work in process, August 1, 1,000 pounds, 40% completed $5,460* * Direct materials (1,000 X $4.7) $4,700 Conversion (1,000 X 40% X $1.9) $760 $5,460 144,150 60,960 Coffee beans added during August, 31,000 pounds Conversion costs during August Work in process, August 31, 1,600 pounds, 30% completed Goods finished during August, 30,400 pounds All direct materials are placed in process at the beginning of production, a. Prepare a cost of production report, presenting the following computations: 1. Direct materials and conversion equivalent units of production for August 2. Direct materials and conversion costs per equivalent unit for August 3. Cost of goods finished during August 4. Cost of work in process at August 31 If an amount is zero, enter in "0". For the cost per equivalent unit, round your answer to two decimal places. Morning Brew Coffee Company Cost of Production Report-Roasting Department For the Month Ended August 31 Unit Information Cost of Production Report-Roasting Department For the Month Ended August 31 Unit Information Units charged to production: Inventory in process, August 1 1,000 Received from materials storeroom 31,000 Total units accounted for by the Roasting Department 32,000 Units to be assigned costs: Equivalent Units Direct Materials (1) Whole Units Conversion (1) 4,000 x Inventory in process, August 1 Started and completed in August 1,000 29,400 30,400 29,400 29,400 Transferred to finished goods in August 29,400 33,400 Inventory in process, August 31 1,600 1,600 480 Total units to be assigned costs 32,000 31,000V 33,880 X Cost Information Costs per equivalent unit: Conversion Direct Materials $ 144,150 Total costs for August in Roasting Department $ 60,960 Total equivalent units 31,000 33,880 X Total equivalent units J1,000 39,000 $ 4.65 $ 1.80 Cost per equivalent unit (2) Costs assigned to production: Direct Materials Conversion Total Inventory in process, August 1 $ Costs incurred in August 5,460 205,110 210,570 Total costs accounted for by the Roasting Department $ Costs allocated to completed and partially completed units: Inventory in process, August 1 balance $ 5,460 To complete inventory in process, August 1 Cost of completed August 1 work in process Started and completed in August Transferred to finished goods in August (3) Inventory in process, August 31 (4) Total costs assigned by the Roasting Department Feedback Check My Work a. How much more (percentage amount) needed to be done to the beginning work in process units to make the units complete to transfer to the next department? Did these units require more material cost or more conversion cost? How much, in terms of cost, had been done to these units in the prior period? In order for units to be transferred to the next department, the units have to be complete with respect to both materials and conversion. When are materials added in the process? How complete are the units in ending inventory with respect to materials? How Feedback Check My Work a. How much more (percentage amount) needed to be done to the beginning work in process units to make the units complete to transfer to the next department? Did these units require more pre conversion cost? How much, in terms of cost, had been done to these units in the prior period? In order for units to be transfer to be complete with respect to both materials and conversion. When are materials added in the process? How complete are the units in ending inventory with respect to materials? How complete are the units in ending inventory with respect to conversion? Materials and conversion cost needs to be allocated among the equivalent units. Are the number of equivalent units the same for materials and conversion? b. Compute and evaluate the change in cost per equivalent unit for direct materials and conversion from the previous month (July). If required, round your answers to the nearest cent. Increase or Decrease Amount Change in direct materials cost per equivalent unit Decrease 0.05 Change in conversion cost per equivalent unit Increase 0.10