Production Cost Report Mixing Department Month Ended March 3

Production Cost Report Mixing Department Month Ended March 31 The Mixing Department combines the direct materials of parafin wax and pigments. The heated mixture is pumped to the Molding Department, where its poured into molds. After the molds cool, the crayons are removed from the molds and are transferred to the Packaging Department where paper wrappers are added and the crayons are baxed Physical Direct In the Mixing Department, the direct materials are added at the beginning of the prooess and the conversion costs are incurred evenly throughout the process. Work in process of the Mxing Department on March 1, 2018, consisted of 800 batches of crayons that were 10% of the way through the production process. The consisted of $14,000 in direct materials costs and $18.800 in conversion costs During March, 5.200 batches were started in production. The Mixing Department transferred 3,000 batches to the Molding Department in March, and 3,000 were sl inprocess on March 31, This ending mentory was 8 % ofthe way through the mixing process. Cheedul Colors uses FIFO process costing Transferred to Molding Department TYPE TO ENTER A CAPTION. COSTS MaterialsCosts Costs per Unit Balance, Mar. 1 Direct materials Direct labor Manufacturing overhead 24,610 Cost per equivalent unit Choose from any lst or enter any mumber in the input fields and then continue to the next question Costs accounted for Total costs for beginning WIP Requirement 2 Jounalie all transactions afeding the Maing Department during Manch, including the entries that have aready been posted Assume labor costs are accraed and not yet paid Begin with a summary journali entry to recond the assignment of direct materials and dinect labor costs and the llocation of manufacturing overhead to the Mxing Department(Prepare a single compound jourmal entry Recond debits frst then credts Exclude explanationsfrom journales Prepare the journal entry to necord the cost of the units (orayons) compieted and transfered out of the Mixing Department

Solution

FIFO method Beggining units 800 Transferred out 3,000 Started into production 5200 Ending units 3,000 6000 6000 Equivalent units Material Conversion Beginning units 800 800 Completion in current period 0% 90% A 0 720 Units started and completed 2200 2200 Completion 100% 100% B 2200 2200 Ending Units 3,000 3,000 Completion 100% 80% C 3000 2400 Total units A+B+C 5200 5320 Cost per equivalent units Per unit cost Cost Total units Per unit cost Material cost 42000 5200 8.08 Conversion cost 90440 5320 17.00 Total 132440 25.08 Cost of goods sold Material convertion cost Beginning work in progress A 14000 18800 32800 Beginning inventory completed Completion 0% 90% Per unit cost 8.08 17.00 Units 800 800 Total cost   B 0 12240 12240 Units started and completed Completion 100% 100% Per unit cost 8.08 17.00 Units 2200 2200 Total cost    C 17769 37400 55169 Total cost A+B+C 31769 49640 100209 Ending work in progress Completion 100% 80% Per unit cost 8.08 17.00 Units 3,000 3,000 Total cost     24231 40800 65031 Requirement 2 Work in progress mixing department 132440              Raw material inventory 42000              Wages payable 24610               Manufacturing overheads 65830 Finished goods inventory 100209              Work in progress mixing department 100209