Use the data field below to complete the production report on the worksheet named FIFO and record
Fantastic news! We've Found the answer you've been seeking!
Question:
Use the data field below to complete the production report on the worksheet named FIFO and record appropriate entry(s). | ||||||||||
You will be graded on your accuracy of your answer and the usage of excel. Your production | ||||||||||
report should have no numbers typed in. The production report should be made up of cell references | ||||||||||
or formulas only. Use the template I have provided to complete the production reports. | ||||||||||
Business Inc. produces all of its products in one department and transfers the costs to finished goods. | ||||||||||
Beginning work-process was 42% complete as to conversion. | ||||||||||
Ending work-in-process was 45% complete. All spoilage and is detected at the end of the period. | ||||||||||
Direct materials are placed into production at the beginning of the process and conversion costs are incurred evenly throughout the process. | ||||||||||
Normal spoilage is 2% of the finished output of good units. | ||||||||||
The information for the current month is as follows: | % completed this current period in processing department | |||||||||
Units: | Materials | Conversion Costs | ||||||||
Beginning work-in-process in units | 3,000 | |||||||||
Units started | 42,000 | |||||||||
Good Units completed | 43,000 | |||||||||
Good Units started and completed | ||||||||||
Ending work-in process in units | 1,000 | |||||||||
Units spoiled-normal | ||||||||||
Units spoiled-abnormal | ||||||||||
Cost: | ||||||||||
Beginning Work-in-process direct materials | $10,000 | |||||||||
Beginning Work-in-process conversion cost | 3,000 | |||||||||
Direct materials added during the month | 89,880 | |||||||||
Conversion costs added during the month | 70,044 | |||||||||
Check figure | $172,924 | |||||||||
Required: | Answers to part 1 & 2 should be typed into the yellow cells above. | |||||||||
1. Calculate the good units started and completed and units spoiled this accounting period in column F above that are in yellow above. | ||||||||||
Normal Spoilage | 2% | Finished output of good units | ||||||||
2. Determine the percentage of materials and conversion costs used in the current period in columns H and I in yellow above. | ||||||||||
3. Prepare a production report for this department using FIFO. | ||||||||||
4. Prepare the journal entries to show the costs flowing out of the production department. | ||||||||||
|
Posted Date: