Reference no: EM132973202

Question - The cost of production report for the packaging department of Company ABC for the month of December 2013 under FIFO and the weighted average methods of process costing. Important information is reproduced here.

-20,000 units in work in process as at 1 December: $20,000 of direct materials and $40,000 of conversion costs (i.e. $10,000 direct labor and $30,000 manufacturing overheads). 100% of the direct materials cost and 40% of the conversion cost have been incurred in the last period on these units.

-200,000 units transferred in from the production department during the month: at a total cost of $555,000.

-Costs added included: direct materials of $22,000 and conversion costs of $20,000.

-180,000 units transferred to finished goods.

-40,000 units in work in process as of 31 December: 100% degree of completion to costs transferred-in, 80% degree of completion to materials, and 50% degree of completion to conversion costs.

Required - Prepare the Cost of Production (Using FIFO Method and Weighted Average Method).