number 18 requirements 12 of the way through the assembly p

number 18
requirements 1_2

% of the way through the assembly proces . it was 45 work-in-Process Inventory in the materials costing $301,950 were placed in production in Assembly during lirect labor of $100,960 was assigned, and manufacturing owe Direct pril, overhead of $136,200 was Requirements 1. Prepare a production cost report for the Assembly Department company uses the weighted-average method. for April. The 2. Prepare a T-account for Work-in-Process Inventory- Assembly to show its ity during April, including the April 30 balance. 18-40B Preparing a production cost report, beginning WIP, no costs Learning Objectives 2, 3, 5 transferred in; journal entrics Smith Paper Co produces the paper used by wallpaper manufacturers. Smith\'s four- stage process includes mixing, cooking, rolling, and cutting On March 1, th Mixing Department had 400 rolls in process. During Marc completed the mixing mixing process for an additional 4,100 rolls of paper. The department sta not finish the mixing process for an additional 500 rolls, which were 20% complete with respect to both direct materials and conversion work at the end of March. Direct materials and conversion costs are incurred evenly throughout the mixing process. The Mixing 1. Cost per EUP for CC $1.40 h, the Mixing Department process for those 400 rolls and also started and completed the rted but did Department compiled the following data for March: Total Direct Direct Manufacturing Materials Labor Overhead Allocated Costs $1,050 10,910 S 5,520 3,1753,265 11.960 s 300 Beginning inventory, Mar. 1 Costs added during March Total costs 475 S 275 5,045 2,900 2,965 Requirements 1. Prepare a production cost report for the Mixing Department for March. The com- pany uses the weighted-average methoo. 2. Journalize all transactions affecting the company\'s mixing process during March. Assume labor costs are accrued and not yet paid.

Solution

1.

2.

SMITH PAPER CO.
Production Cost Report-MIXING DEPARTMENT
Month Ended March 31
	Physical Units	Direct Materials	Conversion Costs
UNITS
Units to account for:
Beginning work in process	400
Started in production	4600
Total units to account for	5000
Units accounted for:		Equivalent Units
		Direct Materials	Conversion Costs
		%	EUP	%	EUP
Completed and transferred out	4500	100%	4500	100%	4500
Ending work in process	500	20%	100	20%	100
Total units accounted for	5000		4600		4600
COSTS		Direct Materials	Conversion Costs	Total Costs
Costs to account for:
Beginning work in process		475	575	1050
Costs added during March		5045	5865	10910
Total costs to account for		5520	6440	11960
Divided by: Total EUP		4600	4600
Cost per equivalent unit		1.20	1.40
Costs accounted for:
Completed and transferred out		5400	6300	11700
Ending work in process		120	140	260
Total costs accounted for		5520	6440	11960