Reference no: EM13151513
Blue Ribbon Flour Company manufactures flour by a series of three processes, beginning in the Milling dept. From the Milling Department, the materials pass through the sifting and packaging depts., emerging as packaged refined flour.
The balance in the account Work in Process-sifting dept was as follows on Oct 1, 2008:
Work in Process-Sifting dept (15,000 units, 75% completed) $42,000
The following costs were charged to Work in Process-sifting dept during Oct:
Direct material transferred from Milling Dept: 235,800 units $632,600
Direct labor 160,735
FactoryOverhead 76,900
During Oct. 233,800 units of flour were completed. Work in Process-sifting dept on Oct. 31 was 17,000 units, 75% completed.
INSTRUCTIONS
Prepare a cost of production report for the Sifting Dept for October, using average cost method.
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