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Problem 7.
Hua Corp. manufactures hats. All material is placed in process at the beginning of the period in Department A and the process and the conversion costs are added evenly throughout the process. Upon completion the goods are immediately transferred to Department B.
Department A -Month of April 20xx.
Status:
-Work in process 3/31/xx conversion Units
completed at a cost of $300,000 20,000
($250,000 material and $50,000 conversion)
-Units started during April 50,000
-Units completed during April 30,000
-Work in process April 30th were 50% 40,000
Completed for conversion
-Direct material cost added during April $450,000
-Conversion cost added during April $100,000
Required:
Prepare the 5 step production cost report
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