Work in Process Account Data for Two Months; Cost of Production Reports Pittsburgh Aluminum Company uses a process cost system to record the costs of manufacturing rolled aluminum, which consists of the smelting and rolling processes. Materials are entered from smelting at the beginning of the rolling process. The inventory of Work in ProcessRolling on September 1 and debits to the account during September were as follows:

During September, 1,200 units in process on September 1 were completed, and of the 27,240 units entering the department, all were completed except 2,400 units that were 20% completed. Charges to Work in ProcessRolling for October were as follows:

During October, the units in process at the beginning of the month were completed, and of the 31,300 units entering the department, all were completed except 1,600 units that were 80% completed.

Required:

1. Enter the balance as of September 1 in a four-column account for Work in ProcessRolling. Record the debits and the credits in the account for September. Construct a cost of production report and present computations for determining (a) equivalent units of production for materials and conversion, (b) costs per equivalent unit, (c) cost of goods finished, differentiating between units started in the prior period and units started and finished in September, and (d) work in process inventory. If an amount box does not require an entry, leave it blank.

2. Provide the same information for October by recording the October transactions in the four-column work in process account. Construct a cost of production report, and present the October computations (a through d) listed in part (1). If an amount box does not require an entry, leave it blank.

Bal., 1,200 units, 60% completed: Direct materials (1,200 x $3.40) Conversion (1,200 x 60% x $1.40) From Smelting Department, 27,240 units Direct labor Factory overhead $ 4,080 1,008 $ 5,088 $95,340 23,478 12,642 From Smelting Department, 31,300 units Direct labor Factory overhead $115,810 34,220 18,420 ACCOUNT DATE Sept. 1 Sept. 30 Sept. 30 Sept. 30 Sept. 30 Sept. 30 Work in Process-Rolling Department ITEM Bal., 1,200 units, 60% completed Smelting Dept., 27,240 units at $3.5 Direct labor Factory overhead Finished goods Bal., 2,400 units, 20% completed POST. REF. DEBIT 95,340 23,478 12,642 CREDIT X ACCOUNT NO. BALANCE DEBIT 5,088 100,428 123,906 136,548 CREDIT If an amount is zero, enter in a zero "0". Round cost per unit answers to the nearest cent. Pittsburgh Aluminum Company Cost of Production Report-Rolling Department For the Month Ended September 30 Units Units charged to production: Inventory in process, September 1 Received from Smelting Department Total units accounted for by the Rolling Department Units to be assigned costs: Inventory in process, September 1 Started and completed in September Transferred to finished goods in September Inventory in process, September 30 Total units to be assigned costs Whole Units 1,200 Equivalent Units Direct Materials (a) Conversion (a) Costs Cost per equivalent unit: Total costs for September in Rolling Department Total equivalent units Cost per equivalent unit (b) Costs assigned to production: Inventory in process, September 1 Costs incurred in September Total costs accounted for by the Rolling Department Costs allocated to completed and partially completed units: Inventory in process, September 1 balance (c) To complete inventory in process, September 1 (c) Cost of completed September 1 work in process Started and completed in September (c) Transferred to finished goods in September (c) Inventory in process, September 30 (d) Total costs assigned by the Rolling Department Direct Materials Costs Conversion Total Costs $ ACCOUNT DATE October 1 October 31 October 31 October 31 October 31 Work in Process-Rolling Department ITEM Balance Smelting Dept., 31,300 units at $3.7 Direct labor Factory overhead Finished goods October 31 Bal., 1,600 units, 80% completed POST. REF. DEBIT CREDIT ACCOUNT NO. DEBIT Balance CREDIT If an amount is zero, enter in a zero "0". Round cost per unit answers to the nearest cent. Pittsburgh Aluminum Company Cost of Production Report-Rolling Department For the Month Ended October 31 Whole Units Units Units charged to production: Inventory in process, October 1 Received from Smelting Department Total units accounted for by the Rolling Department Units to be assigned costs: Inventory in process, October 1 Started and completed in October Transferred to finished goods in October Inventory in process, October 31 Total units to be assigned costs Equivalent Units Direct Materials (a) Conversion (a) Costs Cost per equivalent unit: Total costs for October in Rolling Department Total equivalent units Cost per equivalent unit (b) Costs assigned to production: Inventory in process, October 1 Costs incurred in October Total costs accounted for by the Rolling Department Costs allocated to completed and partially completed units: Inventory in process, October 1 balance (c) To complete inventory in process, October 1 (c) Cost of completed October 1 work in process Started and completed in October (c) Transferred to finished goods in October (c) Inventory in process, October 31 (d) Total costs assigned by the Rolling Department Direct Materials Costs Conversion III III Total Costs