Work in Process—Department Y ... 40,000 Materials ... 90,000 Work in Process—Department X ... 80,000 Work in Process—Department Y ... 70,000 Payroll ... 150,000 Work in Process—Department X ... 180,000 Work in Process—Department Y ... 70,000 Factory Overhead ... 250,000 Work in Process—Department Y ... 300,000 Work in Process—Department X ... 300,000
Finished Goods Inventory... 448,000
E6-3 Tyndol Fabricators Inc. Cutting and Forming Department
Cost of Production Report For November
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 800
Started in process this period ... 3,200
4,000
Transferred to Assembling Department 3,400
Ending Inventory ... 75% 40% 25% 600 4,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Materials ... $ 17,923 Labor ... 2,352 Factory overhead... 3,800 Total cost in beginning inventory... $ 24,075 Cost added during current period:
Materials ... $ 68,625 3,850 $22.48 Labor... 14,756 3,640 4.70 Factory overhead... 29,996 3,550 9.52
Total cost added during current period... $113,377
Total cost charged to department ... $137,452 $36.70 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Assembling Department 3,400 100% $36.70 $124,780
Work in Process, ending inventory:
Materials ... 600 75% $22.48 $10,116 Labor ... 600 40% 4.70 1,128
Factory overhead ... 600 25% 9.52 1,428 12,672
Total cost accounted for ... $137,452
*Total number of equivalent units required in the cost accounted for section determined as follows: Materials Labor Overhead
Equivalent units transferred out ... 3,400 3,400 3,400 Equivalent units in ending inventory .... 450 240 150 Total equivalent units... 3,850 3,640 3,550
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
E6-4 Tokyo Manufacturing Company Molding Department Cost of Production Report
For August
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 1,000
Started in process this period ... 9,000
10,000
Transferred to Finishing Department .... 9,200
Ending inventory ... 75% 25% 25% 800 10,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Materials ... $ 4,120 Labor... 522 Factory overhead... 961 Total cost in beginning inventory... $ 5,603 Cost added during current period:
Materials ... $39,980 9,800 $4.50 Labor... 12,638 9,400 1.40 Factory overhead... 18,779 9,400 2.10
Total cost added during current period... $71,397
Total cost charged to department ... $77,000 $8.00 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finishing Department .... 9,200 100% $8.00 $73,600
Work in Process, ending inventory:
Materials ... 800 75% $4.50 $2,700 Labor ... 800 25% 1.40 280
Factory overhead ... 800 25% 2.10 420 3,400
Total cost accounted for ... $77,000
*Total number of equivalent units required in the cost accounted for section determined as follows: Materials Labor Overhead
Equivalent units transferred out ... 9,200 9,200 9,200 Equivalent units in ending inventory 600 200 200 Total equivalent units ... 9,800 9,400 9,400
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
E6-5 Stanislov Corporation Forming Department Cost of Production Report
For September
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 1,400
Received from Cutting Department... 4,600
6,000
Transferred to Painting Department ... 5,000
Ending inventory ... 60% 30% 30% 1,000 6,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department... $ 21,120 Materials ... 5,880 Labor... 2,614 Factory overhead... 5,228 Total cost in beginning inventory... $ 34,842 Cost added during current period:
Cost from preceding department... $ 68,280 6,000 $14.90 Materials ... 20,440 5,600 4.70 Labor... 17,526 5,300 3.80 Factory overhead ... 35,052 5,300 7.60
Total cost added during current period... $141,298
Total cost charged to department ... $176,140 $31.00 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Painting Department ... 5,000 100% $31.00 $155,000 Work in Process, ending inventory:
Cost from preceding department .... 1,000 100% $14.90 $14,900 Materials ... 1,000 60% 4.70 2,820 Labor ... 1,000 30% 3.80 1,140
Factory overhead ... 1,000 30% 7.60 2,280 21,140
Total cost accounted for... $176,140
*Total number of equivalent units required in the cost accounted for section determined as follows: Prior Dept.
Cost Materials Labor Overhead
Equivalent units transferred out ... 5,000 5,000 5,000 5,000
Equivalent units in ending inventory .... 1,000 600 300 300
Total equivalent units... 6,000 5,600 5,300 5,300
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
E6-6 Sonneli Corporation Assembly Department Cost of Production Report
For February
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 400
Received from Cutting Department... 2,100
2,500
Transferred to Finished Goods ... 2,000
Ending inventory ... 80% 60% 60% 500 2,500
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department... $11,800 Materials ... 4,000 Labor ... 1,200 Factory overhead... 2,400 Total cost in beginning inventory... $19,400 Cost added during current period:
Cost from preceding department... $63,200 2,500 $30.00 Materials ... 21,200 2,400 10.50 Labor ... 17,660 2,300 8.20 Factory overhead ... 35,320 2,300 16.40
Total cost added during current period ... $137,380
Total cost charged to department ... $156,780 $65.10 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finished Goods ... 2,000 100% $65.10 $130,200 Work in Process, ending inventory:
Cost from preceding department .... 500 100% $30.00 $15,000 Materials ... 500 80% 10.50 4,200 Labor ... 500 60% 8.20 2,460
Factory overhead ... 500 60% 16.40 4,920 26,580
Total cost accounted for... $156,780
*Total number of equivalent units required in the cost accounted for section determined as follows: Prior Dept.
Cost Materials Labor Overhead
Equivalent units transferred out ... 2,000 2,000 2,000 2,000
Equivalent units in ending inventory .... 500 400 300 300
Total equivalent units... 2,500 2,400 2,300 2,300
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
E6-7 Saleri Manufacturing Corporation Forming Department
Cost of Production Report For June
Quantity Schedule Material A Material B Labor Overhead Quantity
Beginning inventory... 600
Received from Cutting Department... 3,900
4,500
Transferred to Finishing Department .... 4,100
Ending inventory ... 100% 0% 30% 30% 400 4,500
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department... $ 4,422 Material A ... 2,805 Material B ... 0 Labor... 1,250 Factory overhead... 1,875 Total cost in beginning inventory ... 10,352 Cost added during current period:
Cost from preceding department... $ 29,328 4,500 $ 7.50 Material A ... 19,695 4,500 5.00 Material B ... 10,250 4,100 2.50 Labor... 15,630 4,220 4.00 Factory overhead ... 23,445 4,220 6.00
Total cost added during current period... $ 98,348
Total cost charged to department ... $108,700 $25.00 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finishing Department .... 4,100 100% $25.00 $102,500 Work in Process, ending inventory:
Cost from preceding department .... 400 100% $7.50 $3,000 Material A ... 400 100% 5.00 2,000 Material B ... 400 0% 2.50 0 Labor ... 400 30% 4.00 480
Factory overhead ... 400 30% 6.00 720 6,200
Total cost accounted for ... $108,700
*Total number of equivalent units required in the cost accounted for section determined as follows: Prior Dept.
Cost Material A Material B Labor Overhead Equivalent units transferred out ... 4,100 4,100 4,100 4,100 4,100
Equivalent units in ending inventory .... 400 400 0 120 120
Total equivalent units... 4,500 4,500 4,100 4,220 4,220 ** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period)
E6-8 Canoli Cola Company Carbonation Department Cost of Production Report
For October
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory ... 1,000
Received from Syrup Department ... 2,000
Added to process in Carbonation Department ... 6,000
9,000
Transferred to Bottling Department ... 7,800
Ending inventory ... 100% 25% 25% 1,200 9,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department ... $ 1,120 Materials ... 140 Labor ... 65 Factory overhead... 120 Total cost in beginning inventory ... $ 1,445 Cost added during current period:
Cost from preceding department... $ 9,680 9,000 $1.20 Materials ... 1,210 9,000 .15 Labor... 1,960 8,100 .25 Factory overhead... 3,120 8,100 .40
Total cost added during current period... $15,970
Total cost charged to department ... $17,415 $2.00 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Bottling Department ... 7,800 100% $2.00 $15,600
Work in Process, ending inventory:
Cost from preceding department .... 1,200 100% $1.20 $1,440 Materials ... 1,200 100% .15 180 Labor ... 1,200 25% .25 75
Factory overhead ... 1,200 25% .40 120 1,815
Total cost accounted for ... $17,415
*Total number of equivalent units required in the cost accounted for section determined as follows: Prior Dept.
Cost Materials Labor Overhead
Equivalent units transferred out ... 7,800 7,800 7,800 7,800 Equivalent units in ending inventory .... 1,200 1,200 300 300 Total equivalent units... 9,000 9,000 8,100 8,100
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
E6-9 Menezes Chemical Company Blending Department Cost of Production Report
For March
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory ... 5,000
Received from Refining Department ... 20,000
Added to process in Blending Department ... 5,000
30,000
Transferred to Finishing Department ... 26,000
Ending inventory ... 100% 80% 90% 4,000 30,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department... $4,750 Materials ... 2,415 Labor... 180 Factory overhead... 787
Total cost in beginning inventory ... $8,112 Cost added during current period:
Cost from preceding department... $25,250 30,000 $1.00 Materials ... 12,885 30,000 .51 Labor ... 2,740 29,200 .10 Factory overhead... 8,113 29,600 .30
Total cost added during current period... $48,988
Total cost charged to department ... $57,100 $1.91 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finishing Department .... 26,000 100% $1.91 $49,660
Work in Process, ending inventory:
Cost from preceding department .... 4,000 100% $1.00 $4,000 Materials ... 4,000 100% .51 2,040 Labor ... 4,000 80% .10 320
Factory overhead ... 4,000 90% .30 1,080 7,440
Total cost accounted for... $57,100
*Total number of equivalent units required in the cost accounted for section determined as follows: Prior Dept.
Cost Materials Labor Overhead
Equivalent units transferred out ... 26,000 26,000 26,000 26,000 Equivalent units in ending inventory .... 4,000 4,000 3,200 3,600 Total equivalent units... 30,000 30,000 29,200 29,600
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
E6-10 APPENDIX
Shankar Manufacturing Company Cutting Department
Cost of Production Report For July
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 60% 20% 20% 100
Started in process this period ... 900
1,000
Transferred to Assembly Department ... 850
Ending inventory ... 100% 60% 50% 150 1,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Materials ... $2,940 Labor... 390 Factory overhead ... 585 Total cost in beginning inventory... $3,915 Cost added during current period:
Materials ... $46,530 940 $49.50 Labor... 18,860 920 20.50 Factory overhead... 27,150 905 30.00
Total cost added during current period... $92,540
Total cost charged to department ... $96,455 $100.00
Cost Accounted for as Follows Units Current % Unit Cost Total Cost
Transferred to Assembly Department:
Beginning inventory ... $3,915
Cost to complete:
Materials ... 100 40% $49.50 1,980 Labor ... 100 80% 20.50 1,640
Factory overhead ... 100 80% 30.00 2,400 $ 9,935
Started and completed this period . 750 100% 100.00 75,000
Total cost transferred to Assembly
Department ... $84,935
Work in Process, ending inventory:
Materials ... 150 100% $49.50 $7,425 Labor ... 150 60% 20.50 1,845
Factory overhead ... 150 50% 30.00 2,250 11,520
Total cost accounted for ... $96,455
*Number of equivalent units of cost added during the current period determined as follows: Materials Labor Overhead
To complete beginning inventory ... 40 80 80 Started and completed this period... 750 750 750 Ending inventory ... 150 90 75 Total equivalent units... 940 920 905
** Cost added during the current period divided by the number of equivalent units of cost added dur- ing the current period
E6-11 APPENDIX
Cantach Tool Company Assembly Department Cost of Production Report
For November
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 50% 40% 40% 1,200
Received from Cutting Department... 2,800
4,000
Transferred to Finished Goods ... 3,000
Ending inventory ... 90% 80% 80% 1,000 4,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department... $ 17,280 Materials ... 5,550 Labor... 2,400 Factory overhead... 3,600 Total cost in beginning inventory... $ 28,830 Cost added during current period:
Cost from preceding department... $ 40,600 2,800 $14.50 Materials ... 29,700 3,300 9.00 Labor... 16,932 3,320 5.10 Factory overhead... 25,398 3,320 7.65
Total cost added during current period... $112,630
E6-11 APPENDIX (Concluded)
Cost Accounted for as Follows Units Current % Unit Cost Total Cost
Transferred to Finished Goods:
Beginning inventory ... $28,830
Cost to complete:
Materials ... 1,200 50% $9.00 5,400 Labor ... 1,200 60% 5.10 3,672
Factory overhead ... 1,200 60% 7.65 5,508 $ 43,410
Started and completed this period 1,800 100% 36.25 65,250
Total cost transferred to Finished Goods $108,660
Work in Process, ending inventory:
Cost from preceding department .... 1,000 100% $14.50 $14,500 Materials ... 1,000 90% 9.00 8,100 Labor ... 1,000 80% 5.10 4,080
Factory overhead ... 1,000 80% 7.65 6,120 32,800
Total cost accounted for ... $141,460
*Number of equivalent units of cost added during the current period determined as follows: Prior Dept.
Cost Materials Labor Overhead
To complete beginning inventory ... 0 600 720 720
Started and completed this period... 1,800 1,800 1,800 1,800 Ending inventory ... 1,000 900 800 800 Total equivalent units... 2,800 3,300 3,320 3,320
** Cost added during the current period divided by the number of equivalent units of cost added dur- ing the current period
E6-12 APPENDIX
Southwell Chemical Corporation Blending Department
Cost of Production Report For May
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 100% 20% 40% 2,000
Received from Refining Department ... 5,000
Added to process in Blending Department 5,000
12,000
Transferred to Finished Goods ... 10,500
Ending inventory ... 100% 60% 80% 1,500 12,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department... $2,460 Materials ... 500 Labor... 150 Factory overhead... 600 Total cost in beginning inventory... $3,710 Cost added during current period:
Cost from preceding department... $12,500 10,000 $1.25 Materials ... 2,500 10,000 .25 Labor... 3,300 11,000 .30 Factory overhead... 7,630 10,900 .70
Total cost added during current period... $25,930
E6-12 APPENDIX (Concluded)
Cost Accounted for as Follows Units Current % Unit Cost Total Cost
Transferred to Finished Goods:
Beginning inventory ... $3,710
Cost to complete:
Materials ... 2,000 0% $ .25 0 Labor ... 2,000 80% .30 480
Factory overhead ... 2,000 60% .70 840 $ 5,030
Started and completed this period 8,500 100% 2.50 21,250
Total cost transferred to Finished
Goods ... $26,280
Work in Process, ending inventory:
Cost from preceding department .... 1,500 100% $1.25 $1,875 Materials ... 1,500 100% .25 375 Labor ... 1,500 60% .30 270
Factory overhead ... 1,500 80% .70 840 3,360
Total cost accounted for ... $29,640
*Number of equivalent units of cost added during the current period determined as follows: Prior Dept.
Cost Materials Labor Overhead
To complete beginning inventory ... 0 0 1,600 1,200
Started and completed this period... 8,500 8,500 8,500 8,500 Ending inventory ... 1,500 1,500 900 1,200 Total equivalent units... 10,000 10,000 11,000 10,900
** Cost added during the current period divided by the number of equivalent units of cost added dur- ing the current period
PROBLEMS
P6-1
(1) Meninquez Cabinet Company
Cutting Department Cost of Production Report
For August
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 200
Started in process this period ... 600
800
Transferred to Assembly Department ... 650
Ending inventory ... 90%. 60% 60% 150 800
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Materials ... $ 5,365 Labor... 530 Factory overhead... 795
Total cost in beginning inventor... $6,690 Cost added during current period:
Materials ... $26,035 785 $ 40.00 Labor... 8,350 740 12.00 Factory overhead... 12,525 740 18.00
Total cost added during current period... $46,910
Total cost charged to department ... $53,600 $ 70.00 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Assembly Department ... 650 100% $70.00 $45,500
Work in Process, ending inventory:
Materials ... 150 90% $40.00 $5,400 Labor ... 150 60% 12.00 1,080
Factory overhead ... 150 60% 18.00 1,620 8,100
Total cost accounted for... $53,600
*Total number of equivalent units required in the cost accounted for section determined as follows: Materials Labor Overhead
Equivalent units transferred out ... 650 650 650
Equivalent units in ending inventory 135 90 90
Total equivalent units ... 785 740 740
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
P6-1 (Continued)
Meninquez Cabinet Company Assembly Department Cost of Production Report
For August
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 250
Received from Cutting Department... 650
900
Transferred to Finished Goods ... 800
Ending inventory ... 40% 20% 20% 100 900
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department ... $ 17,410 Materials ... 3,451 Labor... 3,611 Factory overhead... 3,611 Total cost in beginning inventory ... $ 28,083 Cost added during current period:
Cost from preceding department... $ 45,500 900 $ 69.90 Materials ... 14,273 840 21.10 Labor... 20,989 820 30.00 Factory overhead... 20,989 820 30.00
Total cost added during current period ... $101,751
P6-1 (Concluded)
%
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finished Goods ... 800 100% $151.00 $120,800 Work in Process, ending inventory:
Cost from preceding department .... 100 100% $69.90 $6,990 Materials ... 100 40% 21.10 844 Labor ... 100 20% 30.00 600
Factory overhead ... 100 20% 30.00 600 9,034
Total cost accounted for ... $129,834
*Total number of equivalent units required in the cost accounted for section determined as follows: Prior Dept.
Cost Materials Labor Overhead
Equivalent units transferred out ... 800 800 800 800
Equivalent units in ending inventory 100 40 20 20
Total equivalent units ... 900 840 820 820
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
(2) Work in Process—Cutting Department ... 26,035 Work in Process—Assembly Department ... 14,273
Materials ... 40,308 Work in Process—Cutting Department ... 8,350
Work in Process—Assembly Department ... 20,989
Payroll ... 29,339 Work in Process—Cutting Department ... 12,525
Work in Process—Assembly Department ... 20,989
Applied Factory Overhead... 33,514 Work in Process—Assembly Department ... 45,500
Work in Process—Cutting Department ... 45,500
Finished Goods Inventory ... 120,800
P6-2
(1) Rimirez Tool Corporation
Casting Department Cost of Production Report
For December
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 1,000
Started in process this period ... 8,000
9,000
Transferred to Finishing Department .... 7,500
Ending inventory ... 100% 80% 80% 1,500 9,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Materials ... $915 Labor... 60 Factory overhead... 90 Total cost in beginning inventory... $ 1,085 Cost added during current period:
Materials ... $17,085 9,000 $2.00 Labor... 4,290 8,700 .50 Factory overhead... 6,435 8,700 .75
Total cost added during current period... $27,810
Total cost charged to department ... $28,875 $3.25 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finishing Department .... 7,500 100% $3.25 $24,375
Work in Process, ending inventory:
Materials ... 1,500 100% $2.00 $3,000 Labor ... 1,500 80% .50 600
Factory overhead ... 1,500 80% .75 900 4,500
Total cost accounted for ... $28,875
*Total number of equivalent units required in the cost accounted for section determined as follows:
Materials Labor Overhead
Equivalent units transferred out ... 7,500 7,500 7,500 Equivalent units in ending inventory... 1,500 1,200 1,200 Total equivalent units ... 9,000 8,700 8,700
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
P6-2 (Continued)
Rimirez Tool Corporation Finishing Department Cost of Production Report
For December
Quantity Schedule Labor Overhead Quantity
Beginning inventory 1,500
Received from Casting Department ... 7,500 9,000 Transferred to Finished Goods ... 7,000 Ending inventory ... 40% 50% 2,000 9,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department... $ 4,785 Labor... 201 Factory overhead ... 555 Total cost in beginning inventory... $ 5,541 Cost added during current period:
Cost from preceding department... $24,375 9,000 $3.24 Labor... 2,919 7,800 .40 Factory overhead... 3,125 8,000 .46
Total cost added during current period... $30,419
P6-2 (Concluded)
%
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finished Goods ... 7,000 100% $4.10 $28,700 Work in Process, ending inventory:
Cost from preceding department .... 2,000 100% $3.24 $6,480 Labor ... 2,000 40% .40 320
Factory overhead ... 2,000 50% .46 460 7,260
Total cost accounted for... $35,960
*Total number of equivalent units required in the cost accounted for section determined as follows:
Prior Dept.
Cost Labor Overhead
Equivalent units transferred out... 7,000 7,000 7,000 Equivalent units in ending inventory ... 2,000 800 1,000 Total equivalent units ... 9,000 7,800 8,000
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
(2) Work in Process—Casting Department... 17,085
Materials ... 17,085 Work in Process—Casting Department... 4,290
Work in Process—Finishing Department... 2,919
Payroll ... 7,209 Work in Process—Casting Department... 6,435
Work in Process—Finishing Department... 3,125
Applied Factory Overhead... 9,560
Work in Process—Finishing Department... 24,375
Work in Process—Casting Department ... 24,375
Finished Goods Inventory ... 28,700
P6-3
(1) Jetter Engine Corporation
Casting Department Cost of Production Report
For February
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 500
Started in process this period ... 3,000
3,500
Transferred to Assembly Department ... 2,700
Ending inventory ... 100% 80% 90% 800 3,500
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Materials ... $ 10,925 Labor... 338 Factory overhead ... 2,839 Total cost in beginning inventory... $ 14,102 Cost added during current period:
Materials ... $146,575 3,500 $ 45.00
Labor... 16,362 3,340 5.00 Factory overhead... 48,461 3,420 15.00
Total cost added during current period... $211,398
Total cost charged to department ... $225,500 $ 65.00 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Assembly Department ... 2,700 100% $65.00 $175,500
Work in Process, ending inventory:
Materials ... 800 100% $45.00 $36,000 Labor ... 800 80% 5.00 3,200
Factory overhead ... 800 90% 15.00 10,800 50,000
Total cost accounted for... $225,500
*Total number of equivalent units required in the cost accounted for section determined as follows: Materials Labor Overhead
Equivalent units transferred out ... 2,700 2,700 2,700 Equivalent units in ending inventory... 800 640 720 Total equivalent units ... 3,500 3,340 3,420
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
P6-3 (Continued)
Jetter Engine Corporation Assembly Department Cost of Production Report
For February
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 1,000
Received from Casting Department ... 2,700
3,700
Transferred to Finishing Department .... 2,900
Ending inventory ... 70% 30% 30% 800 3,700
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department ... $ 63,150 Materials ... 40,258 Labor ... 12,426 Factory overhead ... 12,426 Total cost in beginning inventory... $128,260 Cost added during current period:
Cost from preceding department... $175,500 3,700 $64.50 Materials ... 116,480 3,460 45.30 Labor... 44,408 3,140 18.10 Factory overhead... 44,408 3,140 18.10
Total cost added during current period... $380,796
Total cost charged to department ... $509,056 $146.00 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finishing Department .... 2,900 100% $146.00 $423,400 Work in Process, ending inventory
Cost from preceding department .... 800 100% $ 64.50 $51,600 Materials ... 800 70% 45.30 25,368 Labor ... 800 30% 18.10 4,344
Factory overhead ... 800 30% 18.10 4,344 85,656
Total cost accounted for... $509,056
*Total number of equivalent units required in the cost accounted for section determined as follows: Prior Dept.
Cost Materials Labor Overhead
Equivalent units transferred out ... 2,900 2,900 2,900 2,900
Equivalent units in ending inventory .... 800 560 240 240
Total equivalent units... 3,700 3,460 3,140 3,140
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
P6-3 (Continued)
Jetter Engine Corporation Finishing Department Cost of Production Report
For February
Quantity Schedule Labor Overhead Quantity
Beginning inventory ... 300 Received from Assembly Department ... 2,900 3,200 Transferred to Finished Goods ... 2,800 Ending inventory... 50% 50% 400 3,200
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Cost from preceding department... $ 42,840 Labor... 2,760 Factory overhead... 4,140 Total cost in beginning inventory ... $ 49,740 Cost added during current period:
Cost from preceding department... $423,400 3,200 $ 145.70 Labor... 12,240 3,000 5.00 Factory overhead... 18,360 3,000 7.50
Total cost added during current period... $454,000
Total cost charged to department ... $503,740 $ 158.20 %
Cost Accounted for as Follows Units Complete Unit Cost Total Cost
Transferred to Finished Goods ... 2,800 100% $ 158.20 $442,960 Work in Process, ending inventory:
Cost from preceding department .... 400 100% $ 145.70 $58,280 Labor ... 400 50% 5.00 1,000
Factory overhead ... 400 50% 7.50 1,500 60,780
Total cost accounted for... $503,740
*Total number of equivalent units required in the cost accounted for section determined as follows: Prior Dept.
Cost Labor Overhead
Equivalent units transferred out ... 2,800 2,800 2,800 Equivalent units in ending inventory... 400 200 200 Total equivalent units ... 3,200 3,000 3,000
** Total cost (i.e., the cost in beginning inventory plus the cost added during the current period) divided by the total number of equivalent units required in the cost accounted for section
P6-3 (Concluded)
(2) Work in Process—Casting Department... 146,575 Work in Process—Assembly Department ... 116,480
Materials ... 263,055 Work in Process—Casting Department... 16,362
Work in Process—Assembly Department ... 44,408 Work in Process—Finishing Department... 12,240
Payroll ... 73,010 Work in Process—Casting Department... 48,461
Work in Process—Assembly Department ... 44,408 Work in Process—Finishing Department... 18,360
Applied Factory Overhead... 111,229 Work in Process—Assembly Department ... 175,500
Work in Process—Casting Department... 175,500
Work in Process—Finishing Department... 423,400
Work in Process—Assembly Department ... 423,400
Finished Goods inventory ... 442,960
P6-4
(1) Peneli Cologne Company
Blending Department Cost of Production Report
For June
Quantity Schedule Materials Labor Overhead Quantity
Beginning inventory... 1,000
Started in process this period ... 6,000
7,000
Transferred to Finishing Department .... 6,400
Ending inventory ... 60% 20% 25% 600 7,000
Cost Charged to Department Total Equivalent Unit
Beginning inventory: Cost Units* Cost**
Materials ... $ 19,620 Labor... 944 Factory overhead... 2,375 Total cost in beginning inventory... $ 22,939 Cost added during current period:
Materials ... $129,100 6,760 $22.00