Johnson Donuts, Inc. has five processing departments for producing donutsMixing, Forming, Baking, Coating, and Packaging....
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Accounting
Johnson Donuts, Inc. has five processing departments for producing donutsMixing, Forming, Baking, Coating, and Packaging. Conversion costs are added evenly throughout each process, and materials are added at the beginning of each process. Data from August for the Mixing Department is as follows:
Units | |
August 1 WIP Inventory (40% complete) | 3,000 |
Units started in production | 18,500 |
August 31 WIP Inventory (75% complete) | 6,500 |
In August, 15,000 units were completed and transferred to the Forming Department. Complete the production cost report for the Mixing Department to show the equivalent units for direct materials and conversion costs. The FIFO method is used. (12 pts)
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| Equivalent Units | |
| Whole Units | Direct Materials | Conversion Costs |
Units to account for: |
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August 1 Inventory |
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Started in production |
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Total units accounted for |
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Units to be assigned costs: |
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August 1 Inventory | |||
Started & Completed |
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Transferred to Forming | |||
August 31 Inventory |
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Total units to be assigned costs |
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Costs incurred in the Mixing Department during August were $70,785 of materials, $17,500 of labor, and $2750 of factory overhead. Compute the cost per equivalent unit for direct materials and conversion costs.
Direct materials: _________________ Conversion: ____________________
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