Hatch Company produces a product that passes through three processes: Fabrication, Assembly, and Finishing. All manufacturing costs are added uniformly for all processes. The following information was obtained for the Fabrication Department for June: Work in process, June 1, had 90,000 units (40 percent completed) and the following costs: Direct materials $98,400 Direct labor 107,000 Overhead 36,000 During the month of June, 190,000 units were completed and transferred to the Assembly Department, and the following costs were added to production: Direct materials $218,000 Direct labor 144,000 Overhead 165,000 On June 30, there were 45,000 partially completed units in process. These units were 80 percent complete. Required: Prepare a cost of production report for the Fabrication Department for June using the weighted average method of costing. The report should disclose the physical flow of units, equivalent units, and unit costs and should track the disposition of manufacturing costs. Round the cost per equivalent unit to the nearest cent. Hatch Company Fabrication Department Production Report for June Unit Information Units to account for:   fill in the blank 2   fill in the blank 4 Units to account for fill in the blank 5 Units accounted for:   Physical Flow Equivalent Units   fill in the blank 7 fill in the blank 8   fill in the blank 10 fill in the blank 11 Total units accounted for fill in the blank 12 fill in the blank 13 Cost Information Costs to account for:   Manufacturing Costs   $fill in the blank 15   fill in the blank 17 Total costs to account for $fill in the blank 18 Cost per equivalent unit $fill in the blank 19 Costs accounted for:     Units completed $fill in the blank 20 Units, ending work in process fill in the blank 21 Total costs accounted for $fill in the blank 22

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Hatch Company produces a product that passes through three processes: Fabrication, Assembly, and Finishing. All manufacturing costs are added uniformly for all processes. The following information was obtained for the Fabrication Department for June:

  1. Work in process, June 1, had 90,000 units (40 percent completed) and the following costs:
    Direct materials $98,400
    Direct labor 107,000
    Overhead 36,000
  2. During the month of June, 190,000 units were completed and transferred to the Assembly Department, and the following costs were added to production:
    Direct materials $218,000
    Direct labor 144,000
    Overhead 165,000
  3. On June 30, there were 45,000 partially completed units in process. These units were 80 percent complete.

Required:

Prepare a cost of production report for the Fabrication Department for June using the weighted average method of costing. The report should disclose the physical flow of units, equivalent units, and unit costs and should track the disposition of manufacturing costs. Round the cost per equivalent unit to the nearest cent.

Hatch Company
Fabrication Department
Production Report for June
Unit Information
Units to account for:
  fill in the blank 2
  fill in the blank 4
Units to account for fill in the blank 5
Units accounted for:
  Physical Flow Equivalent Units
  fill in the blank 7 fill in the blank 8
  fill in the blank 10 fill in the blank 11
Total units accounted for fill in the blank 12 fill in the blank 13
Cost Information
Costs to account for:
  Manufacturing Costs
  $fill in the blank 15
  fill in the blank 17
Total costs to account for $fill in the blank 18
Cost per equivalent unit $fill in the blank 19
Costs accounted for:
   
Units completed $fill in the blank 20
Units, ending work in process fill in the blank 21
Total costs accounted for $fill in the blank 22
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