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In its Department R, Recyclers, Inc., processes donated scrap cloth into towels for sale in local thrift shops. It sells the products at cost. The direct materials costs are zero, but the operation requires the use of direct labor and overhead. The company uses a process costing system and tracks the processing volume and costs incurred in each period. At the start of the current period, 600 towels were in process and were 60 percent complete. The costs incurred were $2,517. During the month, costs of $24,750 were incurred, 3,300 towels were started, and 300 towels were still in process at the end of the month. At the end of the month, the towels were 20 percent complete. Required: a. Prepare a production cost report; the company uses weighted average process costing. b. Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables. Complete this question by entering your answers in the tabs below. Required A Required B Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables. (Do not round intermediate calculatio answers to 2 decimal places.) Work in Process 2,517 2,517 Various Payables 0.00 Beginning inventory Beg.bal. 0.00 This period's costs: End.bal. 24,750 24,750.00 Conversion costs Ending inventory Required: a. Prepare a production cost report; the company uses weighted average process costing. b. Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables. Complete this question by entering your answers in the tabs below. Required A Required B Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables. (Do not round intermediate calculation answers to 2 decimal places.) Work in Process 2,517 2,517 Various Payables 0.00 Beginning inventory Beg.bal. 0.00 This period's costs: End.bal. Conversion costs 24,750 24,750.00 Ending inventory Finished Goods Inventory 0.00 0.00 Beg.bal. End.bal. RECYCLERS, INC. Production Cost Report-Weighted Average Physical Units Total Costs Conversion Costs 600 Flow of Production Units Units to be accounted for: Beginning WIP inventory Units started this period Total units to be accounted for Units accounted for: Units completed and transferred out: Units in ending WIP inventory Total units accounted for 3,300 3,900 3,600 3,600 300 3,900 60 3,660 $ 2,517 24,750 27,267 $ 2,517 24,750 27,267 $ $ 7.45 Costs to be accounted for: Costs in beginning WIP inventory Current period costs Total costs to be accounted for Cost per equivalent unit: Conversion costs Costs accounted for: Costs assigned to units transferred out: Conversion costs Costs assigned to ending WIP inventory: Conversion costs Total costs accounted for $ 26,820.00 $ 26,820.00 447.00 447.00 $ 27,267.00 $ 27,267.00 In its Department R, Recyclers, Inc., processes donated scrap cloth into towels for sale in local thrift shops. It sells the products at cost. The direct materials costs are zero, but the operation requires the use of direct labor and overhead. The company uses a process costing system and tracks the processing volume and costs incurred in each period. At the start of the current period, 600 towels were in process and were 60 percent complete. The costs incurred were $2,517. During the month, costs of $24,750 were incurred, 3,300 towels were started, and 300 towels were still in process at the end of the month. At the end of the month, the towels were 20 percent complete. Required: a. Prepare a production cost report; the company uses weighted average process costing. b. Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables. Complete this question by entering your answers in the tabs below. Required A Required B Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables. (Do not round intermediate calculatio answers to 2 decimal places.) Work in Process 2,517 2,517 Various Payables 0.00 Beginning inventory Beg.bal. 0.00 This period's costs: End.bal. 24,750 24,750.00 Conversion costs Ending inventory Required: a. Prepare a production cost report; the company uses weighted average process costing. b. Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables. Complete this question by entering your answers in the tabs below. Required A Required B Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables. (Do not round intermediate calculation answers to 2 decimal places.) Work in Process 2,517 2,517 Various Payables 0.00 Beginning inventory Beg.bal. 0.00 This period's costs: End.bal. Conversion costs 24,750 24,750.00 Ending inventory Finished Goods Inventory 0.00 0.00 Beg.bal. End.bal. RECYCLERS, INC. Production Cost Report-Weighted Average Physical Units Total Costs Conversion Costs 600 Flow of Production Units Units to be accounted for: Beginning WIP inventory Units started this period Total units to be accounted for Units accounted for: Units completed and transferred out: Units in ending WIP inventory Total units accounted for 3,300 3,900 3,600 3,600 300 3,900 60 3,660 $ 2,517 24,750 27,267 $ 2,517 24,750 27,267 $ $ 7.45 Costs to be accounted for: Costs in beginning WIP inventory Current period costs Total costs to be accounted for Cost per equivalent unit: Conversion costs Costs accounted for: Costs assigned to units transferred out: Conversion costs Costs assigned to ending WIP inventory: Conversion costs Total costs accounted for $ 26,820.00 $ 26,820.00 447.00 447.00 $ 27,267.00 $ 27,267.00

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