Cost of Production Report

Hana Coffee Company roasts and packs coffee beans. The processbegins by placing coffee beans into the Roasting Department. Fromthe Roasting Department, coffee beans are then transferred to thePacking Department. The following is a partial work in processaccount of the Roasting Department at July 31:

ACCOUNT Work in Process—RoastingDepartment							ACCOUNT NO.
Date		Item	Debit		Credit		Balance
							Debit		Credit
July	1	Bal., 7,900 units, 3/5 completed					25,912
	31	Direct materials, 355,500 units	1,030,950				1,056,862
	31	Direct labor	197,500				1,254,362
	31	Factory overhead	49,418				1,303,780
	31	Goods transferred, 356,000 units			?
	31	Bal., ? units, 1/5 completed					?

Required:

1. Prepare a cost of production report, andidentify the missing amounts for Work in Process—RoastingDepartment. If an amount is zero, enter "0". When computing costper equivalent units, round to two decimal places.

HanaCoffee Company
Costof Production Report-Roasting Department
Forthe Month Ended July 31
UnitInformation
Units charged toproduction:
Inventory in process, July1
Received from materialsstoreroom
Total units accounted for bythe Roasting Department
Units to be assignedcosts:
		Equivalent Units
	Whole Units	Direct Materials	Conversion
Inventory in process, July1
Started and completed inJuly
Transferred to PackingDepartment in July
Inventory in process, July31
Total units to be assignedcosts
CostInformation
Cost per equivalent unit:
		Direct Materials	Conversion
Total costs for July inRoasting Department		$	$
Total equivalent units
Cost per equivalent unit		$	$
Costs assigned toproduction:
	Direct Materials	Conversion	Total
Inventory in process, July1			$
Costs incurred in July
Total costs accounted for bythe Roasting Department			$
Costs allocated to completedand partially completed units:
Inventory in process, July 1balance			$
To complete inventory inprocess, July 1	$	$
Cost of completed July 1 workin process			$
Started and completed inJuly
Transferred to MoldingDepartment in July			$
Inventory in process, July31
Total costs assigned by theRoasting Department			$

Feedback

1. Calculate equivalent units for materials and conversioncosts. Calculate the cost per equivalent unit for materials andconversion costs. Calculate the costs assigned to the beginninginventory, the units started and completed, and the endinginventory.

2. Assuming that the July 1 work in processinventory includes $22,120 of direct materials, determine theincrease or decrease in the cost per equivalent unit for directmaterials and conversion between February and July. If required,round your answers to the nearest cent.

	Increase or Decrease	Amount
Change in direct materials cost per equivalent unit	Increase	$
Change in conversion cost per equivalent unit	Decrease	$