Question

# Maria Am Corporation uses the weighted-average method in its process costing system. The Baking Department is...

Maria Am Corporation uses the weighted-average method in its process costing system. The Baking Department is one of the processing departments in its strudel manufacturing facility. In June in the Baking Department, the cost of beginning work in process inventory was \$4,880, the cost of ending work in process inventory was \$1,150, and the cost added to production was \$25,150.

Required:

Prepare a cost reconciliation report for the Baking Department for June.

Solution:

Cost Reconciliation Report for the Baking Department for June

 Baking Department Cost Reconciliation For the month of June Costs to be accounted for: Cost of beginning work in process inventory[A] \$             4,880 Cost added to production during the period[B] \$          25,150 Total cost to be accounted for[C=A+B] \$          30,030 Cost accounted for as follows: Cost of ending work in process inventory[D] \$          (1,150) Cost of unit completed and transferred out [C-D] \$          28,880 Total cost accounted for \$          30,030