Work in Process Account Data for Two Months; Cost of Production Reports

Pittsburgh Aluminum Company uses process costing 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 Process$$Rolling on September $1$ and debits to the account during September were as follows:

Line Item Description Amount

Bal., $800$ units, $60\%$ completed:

Direct materials $(800\backslash$times $$7\mathrm{.}70)$ $$6,160$

Conversion $(800\backslash$times $60\%\backslash$times $$3\mathrm{.}20)1,536$

Total $$7,696$

From Smelting Department, $18,720$ units $$146,016$

Direct labor $36,608$

Factory overhead $19,712$

During September, $800$ units in process on September $1$ were completed, and of the $18,720$ units entering the department, all were completed except $1,800$ units that were $20\%$ completed. Charges to Work in Process$$Rolling for October were as follows:

Line Item Description Amount

From Smelting Department, $21,500$ units $$172,000$

Direct labor $50,260$

Factory overhead $27,056$

During October, the units in process at the beginning of the month were completed, and of the $21,500$ units entering the department, all were completed except $1,000$ units that were $80\%$ completed.

Required:

$1.$ Enter the balance as of September $1$ in a four$-$column account for Work in Process$$Rolling$.$ 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.

ACCOUNT Work in Process$-$Rolling Department ACCOUNT NO$.$

DATE ITEM POST. REF. DEBIT CREDIT BALANCE

DEBIT BALANCE

CREDIT

September $1$ Bal., $800$ units, $60\%$ completed fill in the blank $1$

fill in the blank $2$

fill in the blank $3$

fill in the blank $4$

September $30$ Smelting Dept., $18,720$ units at $$7\mathrm{.}8/$unit fill in the blank $5$

fill in the blank $6$

fill in the blank $7$

fill in the blank $8$

September $30$ Direct labor fill in the blank $9$

fill in the blank $10$

fill in the blank $11$

fill in the blank $12$

September $30$ Factory overhead fill in the blank $13$

fill in the blank $14$

fill in the blank $15$

fill in the blank $16$

September $30$ Finished goods fill in the blank $17$

fill in the blank $18$

fill in the blank $19$

fill in the blank $20$

September $30$ Bal., $1,800$ units, $20\%$ completed fill in the blank $21$

fill in the blank $22$

fill in the blank $23$

fill in the blank $24$

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 Whole Units Equivalent Units

Direct Materials $($a$)$ Equivalent Units

Conversion $($a$)$

Units charged to production:

Inventory in process, September $1$ fill in the blank $25$

Received from Smelting Department fill in the blank $26$

Total units accounted for by the Rolling Department fill in the blank $27$

Units to be assigned costs:

Inventory in process, September $1$ fill in the blank $28$

fill in the blank $29$

fill in the blank $30$

Started and completed in September fill in the blank $31$

fill in the blank $32$

fill in the blank $33$

Transferred to finished goods in September fill in the blank $34$

fill in the blank $35$

fill in the blank $36$

Inventory in process, September $30$ fill in the blank $37$

fill in the blank $38$

fill in the blank $39$

Total units to be assigned costs fill in the blank $40$

fill in the blank $41$

fill in the blank $42$

Costs

Costs Direct Materials Conversion Total

Cost per equivalent unit:

Total costs for September in Rolling Department $fill in the blank $43$

$fill in the blank $44$

Total equivalent units fill in the blank $45$

fill in the blank $46$

Cost per equivalent unit $($b$)$ $fill in the blank $47$

$fill in the blank $48$

Costs assigned to production:

Inventory in process, September $1$ $fill in the blank $49$

Costs incurred in September fill in the blank $50$

Total costs accounted for by the Rolling Department $fill in the blank $51$

Costs allocated to completed and partially completed units:

Inventory in process, September $1$ balance $($c$)$ $fill in the blank $52$

To complete inventory in process, September $1($c$)$ $fill in the blank $53$

$fill in the blank $54$

fill in the blank $55$

Cost of completed September $1$ work in process $fill in the blank $56$

Started and completed in September $($c$)$ fill in the blank $57$

fill in the blank $58$

fill in the blank $59$

Transferred to finished goods in September $($c$)$ $fill