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Prepare cost of production report for the Cutting Department

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Problem - Cost of production report: average cost method

Prepare a cost of production report for the Cutting Department of Tanner Carpet Company for December 2012. Use the average cost method with the following data:

Work in process, December 1, 4,500 units, 75% completed $ 40,000

Materials added during December from Weaving Department, 85,000 units 699,300

Direct labor for December 169,410

Factory overhead for December 98,330

Goods finished during December (includes goods in process, December 1), 83,300 units -

Work in process, December 31, 6,200 units, 10% completed -

Reference no: EM132684665

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