FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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The debits to Work in Process—Roasting Department for Morning Brew Coffee Company for August, together with information concerning production, are as follows:
Work in process, August 1, 600 pounds, 40% completed | $1,884* | |||
*Direct materials (600 X $2.7) | $1,620 | |||
Conversion (600 X 40% X $1.1) | $264 | |||
$1,884 | ||||
Coffee beans added during August, 19,000 pounds | 50,350 | |||
Conversion costs during August | 22,512 | |||
Work in process, August 31, 1,000 pounds, 40% completed | ? | |||
Goods finished during August, 18,600 pounds | ? |
All direct materials are placed in process at the beginning of production.
a. Prepare a cost of production report, presenting the following computations:
- Direct materials and conversion equivalent units of production for August
- Direct materials and conversion costs per equivalent unit for August
- Cost of goods finished during August
- Cost of work in process at August 31
If an amount is zero, enter in "0". For the cost per equivalent unit, round your answer to two decimal places.
Morning Brew Coffee Company | |||
Cost of Production Report-Roasting Department | |||
For the Month Ended August 31 | |||
Unit Information | |||
Units charged to production: | |||
Inventory in process, August 1 | fill in the blank 202731f4df80fb6_1 | ||
Received from materials storeroom | fill in the blank 202731f4df80fb6_2 | ||
Total units accounted for by the Roasting Department | fill in the blank 202731f4df80fb6_3 | ||
Units to be assigned costs: | |||
Equivalent Units | |||
Whole Units | Direct Materials (1) | Conversion (1) | |
Inventory in process, August 1 | fill in the blank 202731f4df80fb6_4 | fill in the blank 202731f4df80fb6_5 | fill in the blank 202731f4df80fb6_6 |
Started and completed in August | fill in the blank 202731f4df80fb6_7 | fill in the blank 202731f4df80fb6_8 | fill in the blank 202731f4df80fb6_9 |
Transferred to finished goods in August | fill in the blank 202731f4df80fb6_10 | fill in the blank 202731f4df80fb6_11 | fill in the blank 202731f4df80fb6_12 |
Inventory in process, August 31 | fill in the blank 202731f4df80fb6_13 | fill in the blank 202731f4df80fb6_14 | fill in the blank 202731f4df80fb6_15 |
Total units to be assigned costs | fill in the blank 202731f4df80fb6_16 | fill in the blank 202731f4df80fb6_17 | fill in the blank 202731f4df80fb6_18 |
Cost Information | |||
Costs per equivalent unit: | |||
Direct Materials | Conversion | ||
Total costs for August in Roasting Department | $fill in the blank 202731f4df80fb6_19 | $fill in the blank 202731f4df80fb6_20 | |
Total equivalent units | fill in the blank 202731f4df80fb6_21 | fill in the blank 202731f4df80fb6_22 | |
Cost per equivalent unit (2) | $fill in the blank 202731f4df80fb6_23 | $fill in the blank 202731f4df80fb6_24 | |
Costs assigned to production: | |||
Direct Materials | Conversion | Total | |
Inventory in process, August 1 | $fill in the blank 202731f4df80fb6_25 | ||
Costs incurred in August | fill in the blank 202731f4df80fb6_26 | ||
Total costs accounted for by the Roasting Department | $fill in the blank 202731f4df80fb6_27 | ||
Costs allocated to completed and partially completed units: | |||
Inventory in process, August 1 balance | $fill in the blank 202731f4df80fb6_28 | ||
To complete inventory in process, August 1 | $fill in the blank 202731f4df80fb6_29 | $fill in the blank 202731f4df80fb6_30 | fill in the blank 202731f4df80fb6_31 |
Cost of completed August 1 work in process | $fill in the blank 202731f4df80fb6_32 | ||
Started and completed in August | fill in the blank 202731f4df80fb6_33 | fill in the blank 202731f4df80fb6_34 | fill in the blank 202731f4df80fb6_35 |
Transferred to finished goods in August (3) | $fill in the blank 202731f4df80fb6_36 | ||
Inventory in process, August 31 (4) | fill in the blank 202731f4df80fb6_37 | fill in the blank 202731f4df80fb6_38 | fill in the blank 202731f4df80fb6_39 |
Total costs assigned by the Roasting Department | $fill in the blank 202731f4df80fb6_40 | ||
b. Compute and evaluate the change in cost per equivalent unit for direct materials and conversion from the previous month (July). If required, round your answers to the nearest cent.
Increase or Decrease | Amount | |
Change in direct materials cost per equivalent unit | $fill in the blank 864c19ff9ffeffc_2 | |
Change in conversion cost per equivalent unit |
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