Question

4. A Company manufactures small boats. Materials are added at the beginning of the process and conversion costs are incurred evenly throughout the process. Data for April follows:

Production Data

	Units	Percent Complete
Units in process, April 1	1000	60%
Units started into production	4000
Units in process, April 30	1500	20%

Cost Data

Work in process, April 1:			Costs added:
Materials	$25,500		Materials	$90,000
Labor	3,000		Labor	12,000
Manufacturing overhead	6,000		Manufacturing overhead	18,900

Required: Using the weighted average method, prepare a production cost report for the company. Note that you will need to use the following Production Cost Report Template

	Physical Units	Direct Materials	Conversion Costs	Total
Units to Account For:
From Beginning Work In Process
Units started during the year
Total Units to Account For
Units Accounted For:
Completed and transferred out
Ending Work in Process
Total Units Accounted for
Total Equivalent Units
Costs to Account For:
Beginning Work-in-Process
Costs incurred during year
Total Costs to Account For:
Cost per equivalent unit
Cost of Units Completed & transferred out
Ending Work In Process
Total Costs Accounted For:

Answer 1