Reference no: EM132461000

Question - The Sinestro Company manufactures electric drills. Material is introduced at the beginning of the process in the assembly department. Conversion costs are applied uniformly throughout the process. As the process is completed, goods are immediately transferred to the finishing department. Data for the assembly department for the month of July 20X1 follow:

Data Table -

Work in process, June 30: $99,500 (consisting of $59,500 materials and $40,000 conversion costs); 100% completed for direct materials, but only 40% completed for conversion costs - 7,000 units

Units started during July - 70,000 units

Units completed during July - 47,000 units

Work in process, July 31: 100% completed for direct materials, but only 40% completed for conversion costs - 30,000 units

Direct materials added during July - $595,000

Conversion costs added during July - $432,000

Requirements -

1. Compute the total cost of goods transferred out of the assembly department during July.

2. Compute the total costs of the ending work in process. Prepare a production-cost report or a similar orderly tabulation of your work. Assume weighted-average product costing.