70.2K

Verified Solution

Link Copied!

Thakin Industries Inc. manufactures dorm furniture in separate processes. In each process, materials are entered at the beginning, and conversion costs are incurred uniformly. Production and cost data for the first process in making a product are as follows.

		Cutting Department
Production DataJuly		T12-Tables
Work in process units, July 1		0
Units started into production		22,200
Work in process units, July 31		3,330
Work in process percent complete		60
Cost DataJuly
Work in process, July 1		$0
Materials		421,800
Labor		260,184
Overhead		115,440
Total		$ 797,424

Compute the physical units of production.

		T12 Tables
Units to be accounted for		Type your answer here

Compute equivalent units of production for materials and for conversion costs.

		Materials		Conversion Costs
T12 Tables

Determine the unit costs of production.

		Materials		Conversion Costs		Total Costs
Unit costs-T12 Tables		$		$		$

Show the assignment of costs to units transferred out and in process.

T12 Tables
Costs accounted for:
Transferred out		$
Work in process
Materials	$
Conversion costs
Total costs		$

Prepare the production cost report for July 2020.

THAKIN INDUSTRIES INC. Cutting DepartmentPlant 1 Production Cost Report For the Month Ended July 31, 2020
				Equivalent Units
Quantities		Physical Units		Materials		Conversion Costs
Units to be accounted for
Work in process, July 1
Started into production
Total units
Units accounted for
Transferred out
Work in process, July 31
Total units
Costs				Materials		Conversion Costs		Total
Unit costs
Total Costs				$		$		$
Equivalent units
Unit costs				$		$		$
Costs to be accounted for
Work in process, July 1								$
Started into production
Total costs								$
Cost Reconciliation Schedule
Costs accounted for
Transferred out								$
Work in process, July 31
Materials						$
Conversion costs
Total costs								$

Answer & Explanation Solved by verified expert

See Answer