Prepare cost of production report for departments for month

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Reference no: EM132697661

The Lighting Manucturing Company uses average costing and manufactures a single product in two producing departments. For the month of April, the cost and production data were as follows:

                                        Mixing                     Finishing

Quantity Data:

WIP, beg                      5,000                   6,000

Stage of Completion Materials 100% -0-

Conversion Cost                50%                     60%

Started in Process 10,000

Transferred to the next Dep't. 10,000          11,000

WIP, end                            5,000               5,000

Stage of Completion Materials 80%               -0-

Conversion Cost                  40%               50%

Cost data:

Cost in WIP, beg

Costs from preceding Dep't        -          $63,000

Materials                               $42,000      -

Direct labor                           35,000      62,500

Factory Overhead                   20,500         45,000

Costs added this month

Materials                             90,000              -

Direct labor                       52,000       140,000

Factory Overhead               37,500          90,000

Problem 1: Prepare a cost of production report for both departments for the month of April.

Reference no: EM132697661

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